Europe is increasing its reliance on LNG imports, which is driving up prices.
At current global gas prices, gas power projects are less cost-competitive compared to renewable projects like wind and solar.
Energy analyst Anton Eberhard suggests that if the country’s emergency power procurement programme bids took place with today’s liquefied natural gas (LNG) prices, renewable energy projects combined with battery storage would be cheaper than gas projects. This includes that of Karpowership SA.
It’s been a year since Karpowership SA was announced as one of the preferred bidders of the Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP). Karpowership SA relies on LNG to provide power from floating power stations. It would provide as much as 1 220 MW from three of the country’s ports – Coega, Saldanha and Richards Bay.
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