Bokpoort, a 50 MW trough project in the Northern Cape Province, South Africa. Image courtesy of ACWA Power.

The primary reason for the delays is said to be grid connection problems. What are the challenges the South African grid is experiencing and how can they be resolved?  

By Annabel Eaton

Recent announcements

The following developments were finally announced this month. Financial close for the 17 Window 3 preferred bidders was concluded, and the names of successful bidders for Window 3.5, a CSP-specific bidding opportunity, were released.

Window 3 Concentrated Solar Power (CSP) projects which achieved financial close this month are Xina Solar One and Ilanga I. According to a Government spokesperson, all Window 3 projects “should be constructed within two years, and by 2017 their first power should be feeding into the grid.”

Successful bidders for Window 3.5 are Kathu CSP and Redstone CSP Project. Kathu Solar Park developers are GDF Suez, while Redstone developers are Solar Reserve/ACWA.

These developments are very promising for South Africa, a country beset by chronic power shortages. Renewable energy is one of the sources of electricity that can help alleviate the country’s power crisis. A unique benefit of CSP, as opposed to other forms of renewable energy, is its storage capability enabling it to provide a stable source of energy to meet South Africa’s peak load demand.

Grid challenges

However despite these encouraging developments, Eskom’s grid constraints remain a challenge to the connection of some Window 3 projects. The grid needs to be strengthened to facilitate additional Independent Power Producer (IPP) connections. According to some reports it will be difficult and expensive to connect a number of the proposed projects, and Eskom needs to find ways of financing the upgrade, especially with regard to the deep reinforcement of the grid, which is Eskom’s responsibility.

The dilemma is explained succinctly in the paper, ‘South Africa’s Renewable Energy IPP Procurement Program: Success Factors and Lessons’, commissioned by the Public-Private Infrastructure Advisory Facility (PPIAF) and the World Bank Group.

“The problem is generally not the shallow connections (i.e. the transmission connections to the nearest sub-stations that most developers are funding or constructing themselves) but rather the deep connection investments that Eskom needs to make to strengthen the transmission backbone to evacuate all the new energy that is generated in these remote areas.”

A co-author of the paper and University of Cape Town Graduate School of Business professor, Anton Eberhard, states: "Eskom hasn’t invested sufficiently in strengthening the backbone to evacuate power. It is an issue of lack of co-ordination in planning and Eskom not taking care around preparing for the IPPs."

Eberhard is in favor of a commission of inquiry to resolve the situation. “A new commission of inquiry will help us understand what has gone wrong.”

CSP connection

What in particular needs to be done to the grid to accommodate connection for CSP? Bernard Magoro, Grid Code Secretariat, Eskom, sheds some light on the issue.

Speaking at this month’s CSP Today webinar, ‘How can CSP with storage compete with other baseload technologies in South Africa?’ Magoro explained that CSP is regulated and that there are Grid Code challenges.

“Active power control is a major challenge as there are different control structures for CSP and other baseload technologies. This is being investigated. A team of experts has been assembled to address the issues.”

Far-reaching solution

Advising on a far-reaching solution going forward is Jaco Cronje, Operations Director for EES Africa (Pty) Ltd, which specializes in the integration of multiple system infrastructures. Cronje advocates the implementation in South Africa of a smart grid to help strengthen South Africa’s existing grid and facilitate connection for further IPPs.

“A smart grid is an evolved grid system which has been expanded through the addition of intelligence and manages electricity demand in a sustainable, reliable and economic manner,” says Cronje. “One of the key advantages of the smart grid is its capacity for integrating and hosting renewable energy, including CSP.”

“In discussing the implementation of a smart grid it is important to note that we would not be building a smart grid from the ground up in South Africa,” Cronje states. “We have inherited a grid that we need to morph into the most sustainable solution.”

Long-term role of CSP

What is the long-term role of CSP in supplying South Africa’s energy requirements? Frank Dinter, Chairman of the Solar Thermal Energy Research Group (STERG), Stellenbosch University, believes that CSP is a key solution to energy production going forward. One of the reasons for this is its storage capability.

“Unlike other forms of renewable energy, CSP can produce dispatchable energy from storage whenever required. It can shift power generation to periods of high demand and is ideal for meeting the demands of the evening peak. CSP can work in conjunction with and contribute to other forms of renewable energy.”

It is clear that a more sustainable solution is needed to deal with the grid connection issue. South Africa’s energy industry is committed to finding ways to overcome the challenges and has already made strides in doing so. CSP is a valuable solution to electricity production in South Africa where the current power plant capacity cannot meet demand.