PARIS, Jan. 6 (UPI) -- French energy company GDF Suez said Tuesday becoming a preferred bidder for a solar farm in South Africa is a win-win scenario for both parties.
The South African Department of Energy awarded GDF Suez preferred bidder status for solar energy from the 100 megawatt Kathu Solar Park. The status means the company is invited to enter into a 20-year power purchase agreement with South African electricity company Eskom.
GDF Suez Chairman Gerard Mestrallet said his company is proud to be a part of the country's renewable energy program.
"Kathu Solar Park strengthens our contribution to South Africa's objective of establishing sustainable energy generation and promoting local economic development," he said.
The French company leads a South African consortium in charge of the solar park. Located in Northern Cape province, it uses a system where thermal energy is stored for more than four hours on a molten salt device.
The company is already a major player in the wind energy sector for South Africa. Twelve of the 47 wind turbines planned for a 94 MW wind farm should be completed by the middle of the year.
South Africa set an ambitious target of added about 1.6 MW of new renewable energy to its grid each year, drawing in about $25 million in government revenue.
