Alpha Namibia Industries Renewable Power Limited (ANIREP) and its partners are set to invest N$300 million in the construction of a 20-megawatt solar plant located 45 km west of Usakos.
The Khan solar plant, which has a 25 year off-take agreement with NamPower, offering a tariff of 49.05 cents per kWh with fixed escalation of power annually, is to be funded through a combination of debt and equity.
“The project is part of the National Integrated Resource Plan (NIRP) – and was conceptualised by NamPower in 2018 and implanted as part to its 2019 to 2023 Corporate Strategic Plan – of up to 230 MW amongst the hosts of a total of 6 projects to be rolled out in this period. As such, it is part of IPP projects (other being a 50 MW wind project) which is currently on international public tender,” ANIREP Managing Director Iyaloo Nangolo told The Brief.
“Khan was awarded after an international competitive tender on Build Own and Operate basis opened on 23rd September 2019 and closed on 28th of February 2020.
“The project has secured a 25-year power purchase agreement (PPA) from NamPower as result of a contract signed with Nampower on 16th of December 2020, after a competitive international public tender process. It will supply the Nampower Grid, and Nampower will direct where the power should be relayed to. As the lowest tariff project in Namibia, it will contribute towards reducing the overall power tariff by introducing the lowest cost of power into Namibia,” he said.
The Khan Solar plant construction is expected to be completed in March 2023, and subsequent commissioning by May 18 next year.
“Today ANIREP has invested in more than four utility Solar PV projects. Two are PV solar plants located at Otjiwarongo and Grootfontein. HopSol Africa is about to conclude the commissioning of a 20MW power plant at Omburu constructed for NamPower and will embark on the 20MW Khan project,” Nangolo said.
Out of 170MW PV power plants in Namibia, ANIREP’s subsidiary HopSol Africa has been involved in the construction of 120MW.
ANIREP bought a 70% interest in Hopsol Power Generation (Pty) Ltd, an independent power producer in 2020, owning two 5-MW PV parks in Namibia commissioned in 2015 and 2016 and enjoying a 25-year PPAs.
ANIREP paid the equity consideration of N$88.6 million for Hopsol Power Generation and N$56 million for Hopsol Africa in cash using proceeds from its listing on the Namibian Stock Exchange.
