Malibuye Cossie (ZA)

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Crossing borders to procure coal – Coal Baseload IPP Procurement Programme

By Jackie Midlane, Malibuye Cossie (ZA) and Raghemah Hendricks on April 26, 2016 Posted in General

On Wednesday, 20 April 2016 the Minister of Energy issued a determination setting out what bidders can expect to see in the request for proposal under the coal baseload cross border independent power producer procurement programme. The determination provides that: 3750 MW has been allocated to the cross border programme, which is an increase from … Continue reading

Cross-border coal projects and the Southern African Power Pool

By Malibuye Cossie (ZA) and Katia Mengel on March 2, 2016 Posted in General

The governing documents that address the Southern African Power Pool’s (SAPP) role in cross-border transactions provide a framework that bidders, under the coal baseload independent power producer procurement programme (CBIPPP), that addresses some of the Department of Energy’s (DoE) requirements for cross-border projects in Southern Africa under the CBIPPP. There are two key requirements that … Continue reading

South African renewable energy programme: benefits of local community investments

By Melusi Dlamini and Malibuye Cossie (ZA) on November 23, 2015 Posted in Banking

In order to ensure that the construction and operation of renewable energy projects in South Africa is not hampered by unsatisfied local communities it is important that borrowers’ and sponsors’ alike invest in educating local communities on how they derive benefit from the projects. Since our article of September 2014 (Renewable energy projects: community related … Continue reading

Regulation of small-scale embedded generation and the potential regulatory framework provided by NERSA

By Katrijn Thys and Malibuye Cossie (ZA) on August 14, 2015 Posted in Banking

Small-scale embedded generation (SSEG), particularly rooftop solar photovoltaic systems, are increasingly used by South Africans as an alternative solution to South Africa’s current energy supply challenge. The Integrated Resource Plan 2010-2030 Update estimates that residential and commercial PV embedded generation could reach 22.5GW by 2020. However, there is no legal framework for the implementation of … Continue reading

Local community involvement in the Coal Baseload Programme

By Malibuye Cossie (ZA) and Sne Gule on June 30, 2015 Posted in Banking

The Request for Qualifications and Proposals (RFP) issued by the Department of Energy (DoE) in terms of the Coal Baseload IPP Procurement Programme does not make provision for shareholding by local communities in the project company. Under the Renewable Energy IPP Procurement Programme (REIPPP), local communities were defined as residential areas or villages in South … Continue reading

Refinancing under the Coal Baseload RFP- DoE to share in the gains

By Katia Mengel and Malibuye Cossie (ZA) on February 11, 2015 Posted in Banking

The Coal Baseload Independent Power Procurement Programme Request for Qualification and Proposals (RFP) was released by the Department of Energy (DoE) in December 2014. The RFP allows preferred bidders, with the approval of the DoE, to undertake any refinancing or re-arrangement of the debt or equity at any time during the term of the Implementation … Continue reading

Cross Border Projects under Coal Baseload Independent Power Producer Procurement Programme Request for Qualification and Proposal

By Jackie Midlane and Malibuye Cossie (ZA) on January 29, 2015 Posted in Banking

The Coal Baseload Independent Power Procurement Programme Request for Qualification and Proposals (RFP) released by the Department of Energy (DoE) allows bidders to bid cross border projects. We highlight some of the key features relating to cross border projects under the RFP. Cross border facility and cross border project A cross border facility is a … Continue reading

Key features of the Coal Baseload Independent Power Producer Procurement Programme Request for Qualification and Proposal

By Malibuye Cossie (ZA) and Jackie Midlane on January 23, 2015 Posted in Banking

In December 2014, the Department of Energy (DoE) released the Coal Baseload Independent Power Procurement Programme Request for Qualification and Proposals (RFP). We highlight some of the key features of the RFP. Bid phases The RFP provides for more than one bid submission phase. The first bid submission date is 8 June 2015. The DoE anticipates … Continue reading

Baseload – Coal Independent Power Producer Procurement Programme

By Malibuye Cossie (ZA) and Katia Mengel on November 3, 2014 Posted in General

After the success of the Renewable Energy Independent Power Producer Procurement Programme (REIPPP Programme) run by the Department of Energy of South Africa (DoE), the release by the DoE of the requests for proposals for gas, coal and hydro under the government’s baseload procurement programme is hotly anticipated. We highlight below some of the differences … Continue reading

Credit ratings and acceptable banks

By Malibuye Cossie (ZA) and Katia Mengel on September 8, 2014 Posted in Banking

When rating agencies downgrade the credit ratings of South Africa’s banks or the country’s sovereign credit rating, whether justifiably or not, it raises interesting questions for the operation of project financing agreements. Definitions in finance documents designate a class of financial institutions as ‘acceptable banks’. This definition is commonly used in project finance transactions as … Continue reading

Renewable energy projects: community related protests

By Ntombentsha Odolo and Malibuye Cossie (ZA) on September 2, 2014 Posted in Banking

The economic development obligations placed on developers in terms of the Renewable Energy Independent Power Producer Procurement Programme are fairly onerous and can have far-reaching implications for renewable energy projects in South Africa if protests by unhappy local communities are events of default. To comply with the ownership requirement imposed as part of the economic … Continue reading