A British power equipment supplier and its joint venture partner have won a contract to supply 107 MW of gas fired power to South Africa and Mozambique.
Aggreko, the world’s biggest temporary power provider and partner Shanduka Group are the winning bidders.
South Africa and neighbouring countries have been struggling to meet the rising demand for power, and until new power plants come online the next two years are expected to see further difficulty.
South Africa’s national grid collapsed completely in 2008.
According to City AM, Aggreko has signed power purchase deals with South African power utility Eskom and Mozambique’s Electricidade de Mocambique (EDM) to supply electricity from the third quarter of this year until July 2014. Eskom will buy 92MW and EDM the remaining 15MW.
As part of the Eskom/EDM deal, valued at $250m over two years, Aggreko will build gas interconnections, a substation and a 275 kV transmission line. Part of the infrastructure will go to EDM at the end of the contract.
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