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Cape Town - South Africa has started offtake negotiations with a consortium for the construction of the Grand Inga Hydropower Project in the Inga Dam in the Democratic Republic of the Congo (DRC).
Upon completion, the project is expected to generate 4 800 MW of electricity.
Ompi Aphane, Deputy Director General of Policy, Planning and Clean Energy at the Department of Energy, briefed MPs on Tuesday on the progress made with negotiations to get the multi-billion dollar project going.
The original treaty for the project was signed on October 30 2013 when President Jacob Zuma paid a visit to the DRC.
“The purpose of the treaty is to develop a framework so that the two countries can find the best economically feasible options for the development of the project,” Aphane said in his presentation.
If certain conditions in the agreement are met, South Africa will commit to buying power generated from Phase One of the Inga Dam project and subsequent phases.
During the first phase costs will be considered for the construction of a transmission line to Kolwezi, which will be the delivery point. South Africa will invest capital for the transmission infrastructure from Kolwezi to South Africa.
In addition, South Africa and the DRC commit to offtake 2 500 MW and 2 300 MW respectively to mobilise funding, which means the two countries would agree to purchase and/or sell portions of the electricity generation.
Aphane said the Department of Energy hopes to have chosen a concessionaire by the end of this year. Commercial operation is expected by the end of 2023.
However, Pieter van Dalen of the Democratic Alliance was of the view that the project would take at least a decade, due to the political risks in the DRC and the massive build the project would entail.
“We need to construct 4 000km of aluminium lines, which won’t be an easy task,” added Aphane.
Upon completion, the project is expected to generate 4 800 MW of electricity.
Ompi Aphane, Deputy Director General of Policy, Planning and Clean Energy at the Department of Energy, briefed MPs on Tuesday on the progress made with negotiations to get the multi-billion dollar project going.
The original treaty for the project was signed on October 30 2013 when President Jacob Zuma paid a visit to the DRC.
“The purpose of the treaty is to develop a framework so that the two countries can find the best economically feasible options for the development of the project,” Aphane said in his presentation.
If certain conditions in the agreement are met, South Africa will commit to buying power generated from Phase One of the Inga Dam project and subsequent phases.
During the first phase costs will be considered for the construction of a transmission line to Kolwezi, which will be the delivery point. South Africa will invest capital for the transmission infrastructure from Kolwezi to South Africa.
In addition, South Africa and the DRC commit to offtake 2 500 MW and 2 300 MW respectively to mobilise funding, which means the two countries would agree to purchase and/or sell portions of the electricity generation.
Aphane said the Department of Energy hopes to have chosen a concessionaire by the end of this year. Commercial operation is expected by the end of 2023.
However, Pieter van Dalen of the Democratic Alliance was of the view that the project would take at least a decade, due to the political risks in the DRC and the massive build the project would entail.
“We need to construct 4 000km of aluminium lines, which won’t be an easy task,” added Aphane.
