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A consortium led by Mainstream Renewable Power has been named as the preferred bidder to build two wind farms at a cost of $470m.

The consortium will build a 140MW wind project in the Northern Cape and a 110MW facility in the Western Cape.

SunEdison has won bids to construct five solar projects, totaling 371MW, in the Northern Cape and North West provinces.

The solar projects, which are expected to generate enough energy for over 200,000 homes in South Africa, will supply electricity to national utility Eskom under a 20-year power purchase agreement.

SunEdison had earlier been awarded a 86MW solar project in the fourth round of REIPPP, increasing its total capacity to 457MW.

Mainstream managing director for onshore procurement, construction and operations Barry Lynch said the company is already building a further three wind farms in the Northern Cape.

"Renewable energy ticks three important boxes for South Africa’s energy needs. Firstly, the cost of these projects is now cheaper than new coal-fired generation. Secondly, they can be brought into commercial operation at the speed required and thirdly, they meet the scale needed to address the country’s growing electricity demand."

SunEdison president for Asia Pacific Pashupathy Gopalan said: "We selected project sites that strengthen the Eskom grid and distribute project benefits across a range of communities."

Under the REIPPP program, South Africa is planning to generate about 17,800MW of renewable energy by 2030 and reduce its reliance on fossil fuel.

Image: Mainstream Renewable Power and SunEdison have won 621MW of renewable energy projects in South Africa. Photo: courtesy of Anusorn P nachol/FreeDigitalPhotos.net.