the project
Background
South Africa has been grappling with a persistent electricity load-shedding crisis, adversely affecting its economy, industrial output, and the daily lives of its citizens. This complex challenge arises from a combination of factors, necessitating multifaceted solutions.
Expanding into the Mpumalanga Region
HDF Energy is strategically expanding into Mpumalanga Province, South Africa, to contribute to resolving the shortage of electricity-generation capacity. Mpumalanga, known for its rich coal reserves, produces approximately 80% of the country's coal. Notably, 11 out of Eskom's 13 coal-fired power stations are located in Mpumalanga, constituting 70% of Eskom's generation capacity. This unique combination of grid connectivity and high solar irradiance makes Mpumalanga an ideal region for intervention. In April 2022, Eskom initiated a request for proposal (RFP), launching a rigorous selection process for leasing 6184 hectares of land for 25 to 30 years. HDF Energy secured 1782 hectares to develop green hydrogen baseload power plants in Mpumalanga. These projects have the potential to become the largest green hydrogen power plants in the country, strategically located in six different locations within Tutuka and Majuba.
Impact and Investment
An investment of approximately USD3 billion will be injected into South Africa from the development of these projects. Additionally providing power to the equivalent of 1.4 million inhabitants within the country.