Redstone CSP reaches Financial Close:Published:
Trinity is delighted to confirm that the 100MW Redstone concentrated solar power (CSP) project in South Africa achieved Financial Close in early May 2021, with commercial operations scheduled to begin in Q4 2023. The ZAR 11.6 billion project is being developed by ACWA Power (ACWA), together with its co-shareholders the Central Energy Fund, Pele Green Energy and the local community in the Northern Cape Province of South Africa. Trinity advised the Standard Bank of South Africa in connection with its loan to ACWA, which will be applied to the funding of ACWA’s equity interest in the project.
Upon completion, the project is expected to power 200,000 households around the clock through the use of a 12-hour thermal storage system, and will also provide ancillary services to the system operator at no cost to the local public utility, Eskom, a first for a renewable energy plant in South Africa. Redstone CSP is South Africa’s largest renewable energy investment to date and has facilitated approximately ZAR 7 billion in foreign direct investment. Debt finance for the project is being provided by financial institutions including the African Development Bank (AfDB), ABSA Bank, the Development Bank of Southern Africa (DBSA), CDC Group plc, Nedbank Limited, Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden (FMO), Deutsche Investitions-und Entwicklungsgesellschaft (DEG), Investec Bank and Sanlam Life Insurance.
Redstone CSP was procured under the third round of South Africa’s Renewable Energy Independent Power Project Procurement (REIPPP) programme. Trinity continues to advise many of its clients in connection with both the REIPPP programme, and the more recent Risk Mitigation Independent Power Project Procurement (RMIPPP) programme.
Please contact Simon Norris and Jo Sykes for more information