+27 71 448 3496
leon@whyafrica.co.za

Construction of 120MW solar plant in Botswana imminent

Share Article
Scatec operates several solar plants in Southern Africa. Image credit: Leon Louw for WhyAfrica

Construction of 120MW solar plant in Botswana imminent

The construction of Norwegian based company Scatec’s 120MW solar PV facility close to the town of Selebi-Phikwe in Botswana is imminent.    

Renewable energy provider Scatec has reached financial close on the first 60 megawatt (MW) of the 120MW Mmadinare Solar Complex in Botswana and is preparing for construction start of the first utility-scale solar project in the African nation.

In August 2022, Scatec, and the Botswana Power Corporation (BPC) signed a binding 25-year power purchase agreement (PPA) for the construction of a 60 MW solar PV facility in the Mmadinare District. In the third quarter 2023, Scatec was awarded a 60 MW expansion to the project, taking the total capacity to 120 MW.

The estimated total capital expenditure for the 120 MW project is BWP 1.4-billion (USD  104-million) with an estimated EPC contract value to Scatec of BWP 1.2-billion (USD 90-million).

The solar power plants are estimated to be financed by BWP 936- million (USD 68-million) of non-recourse project debt and equity from Scatec. Financing for the first 60MW will be provided by the Rand Merchant Bank in Botswana and the World Bank’s International Finance Corporation (IFC).

Avoiding carbon emissions (Construction of 120MW solar plant in Botswana imminent)

Scatec owns 100% of the project and will be the designated engineering, procurement, and construction (EPC) company, as well as asset manager (AM) and operations and maintenance (O&M) service provider. Construction and operation of the power plants will be managed by Scatec’s organisation in South Africa.

“As we reach another milestone in our renewable energy journey in Botswana, we are now looking forward to starting construction of the largest solar project in the country. By doubling the total capacity of the solar power plant, we demonstrate the effectiveness of our strategy, robust business model and drive to contribute to the green energy transition in Africa,” says Scatec CEO Terje Pilskog.

“Solar is one of the world’s fastest growing and most cost competitive clean energy sources. Scatec’s pioneering role and solid track record in solar stand testimony to our commitment to value creation; including the positive impact we make and the communities we enhance,” Pilskog adds.

The plant will be located near Mmadinare, close to the former mining town of Selebi-Phikwe, 400 kilometres Northeast of capital Gaborone. The solar power plant will ensure that approximately 48,000 tons of COemissions will be avoided and power approximately 20,000 households annually.

Botswana is rich in natural resources and has vast solar energy potential, receiving over 3,200 hours of sunshine per year. The nation’s ambitions to drive a renewable energy transformation is clear to see. The country’s Vision 2036 calls for 50% renewable energy allocation by 2036.

Construction of 120MW solar plant in Botswana imminent

ADVERTISEMENT

WhyAfrica provides on the ground information and business intelligence about the sustainable utilisation and extraction of natural resources in Africa, and can assist your company through:  

  1. Membership:
  • WhyAfrica’s membership offers great business insights to you, your company, and clients.
  • Amongst many other benefits, we will publish editorial content about you or your company on the WhyAfrica online platform and on all WhyAfrica’s social media pages – the annual fee is R6,500 and you can find out more or subscribe here: https://www.whyafrica.co.za/product/membership/ 
  1. Sponsorship:
  • WhyAfrica’s Road Trip takes place annually in July and August. During our Road Trip we aim to visit more than 30 project sites. Sponsoring the Road Trip, or to be a WhyAfrica member, gives you unparalleled insight into the business environment of the countries that we travel to and the project sites we visit.
  • To be a member or sponsor allows you access to invaluable, on the ground, business intelligence and a great marketing opportunity for all companies doing business in Africa.
  • The main aim of our Road Trips is to promote Africa as an investment destination and to showcase Africa’s greatest companies, and projects to our large global audience, which includes a list of potential investors, venture capitalists and serial entrepreneurs.
  • To view the photos of this year’s Southern Africa Road Trip click on the gallery link or follow our Instagram account at why.africa https://www.whyafrica.co.za/road-trips/whyafrica-road-trips/. 
  1. Advertising:
  • We publish daily online articles on our WhyAfrica platform and post them on social media every day. Our combined online reach is more than 45,000. In-article banner ads are highly successful advertising tools as is advertising space on our website.
  • In addition to our bi-weekly newsletters, we publish two printed- and two interactive digital magazines per year. The printed magazines are distributed at major events and conferences throughout the year, and also on our WhyAfrica Road trips.
  • Digital magazines are e-mailed to all our subscribers and shared on our social media platforms. A copy of the latest edition is automatically attached to all our outgoing e-mails.
  • WhyAfrica magazines provide great marketing opportunities. There are also in-article and on-line advertising opportunities at exceptional rates. Contact me for more information on leon@whyafrica.co.za or give me a call.
  • To subscribe to WhyAfrica’s free newsletters and magazines click on the link and register: https://www.whyafrica.co.za/subscribe/  
  1. 4. Partnerships
  • Maximise your African exposure and link with our large business network through becoming one of only 10 WhyAfrica partners. We have only five prime partnership positions left for 2023, so contact me at leon@whyafrica.co.za to get the best deal.

Construction of 120MW solar plant in Botswana imminent

Share Article

Sectors

AgricultureEnvironmental Management & Climate ChangeEnergyESGInfrastructureMiningPolitical EconomyTourism and ConservationWater Management