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• Mbulelo Kibido
• General Manager - Transmission
• ESKOM
• South Africa
Overview of the presentation
• Investment Allocation Decisions in Transmission
• Grid Expansion Plans (TDP Period 2015 to 2024)
• Cost-Drivers in Grid Expansion
• Summary of the DoE RE Programs 1, 2 and 3
• Constraints to Grid Access post REBIDs 1,2,3
• Strategies to Accommodate Future IPP Projects
• Required Investments to Unlock Connection Capacity
• Conclusion
• Questions ???
Investment Allocation Decisions in Transmission
Transmission Capital Plan for the
TPD period (2015-2024)
Categories FY15-24 (Rm)
Capacity Expansion 145,968
Refurbishment 7,680
Capital spares 2,397
EIA and servitudes 5,150
Strategic 1,066
Production Equipment 519
Total 162,779
Cost-Drivers in Grid Expansion • Load Growth:
o Connection of new and anticipated customer loads
o Resolution of Quality of Supply excursions
• Legal and Regulatory Compliance: o N-1 Reliability Investments
• Power Corridors
• Transformation Capacity
o Mitigation of Fault-level Exceedances (existing and anticipated)
• Integration of New Generation: o Eskom generation new build
o New and anticipated IPP generation
• Land Development: o Securing of Lands Rights and Environmental Authorisations
Summary: DoE REBIDS 1, 2 & 3
Eskom Investment to Enable
REBID 1, 2, & 3 (RM)
Constraints to Grid Access • Servitude Acquisition and EIAs (can take up 24 Months to resolve)
o IPP developments tend to be in close proximity of Eskom substations. This sometimes restricts access to other RE IPP participants due to limited powerline corridors through IPP properties
• Long Lead Times for New Infrastructure (can take up to 7 years):
o Post REBIDs 1, 2, & 3; there is very limited spare capacity on the existing Distribution and Transmission networks. Hence, necessity for deep strengthening.
• High Cost of the Shared Infrastructure (due to requirement for deep strengthening)
o Due to uncertainty of allocation of Preferred IPP Bidders, quotations are issued on an individual basis i.e. no other application is considered in the quotation. This potentially raises the cost of connection per quotation
• CELs issued to IPPs are non-binding but are utilised in the BID price, which is a binding, to the DOE IPP
Required Investment to Unlock
Capacity for Future IPP projects
Strategies to Optimise Infrastructure Requirements for Future IPP Projects
• Develop Renewable Energy Zones”
• Encourage the installation of smaller blocks of PV (e.g. < 50MW) closer to Load Centres
• Avoid Large Projects in Grid-remote areas
• Encourage Projects in Areas with Grid Capacity (Align Projects to GCCA doc)
23 October 2012 11
Strategic Projects to Unlock REDZ
Wayforward
• Eliminate misalignment in the planning of the IPP programmes
(i.e. continue working with key stakeholders).”
• Special measures and resources
(to accelerate the Transmission infrastructure required for the IPP
programmes; e.g. strategic EIA’s; special funding mechanisms, etc.)
Questions ????
Thank you
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