RICHARDS Bay has been allocated nearly 2,000MW of the government’s 3,000MW gas-to-power project, and is banking on the development to energise its industrial development zone and stimulate economic growth in the region.Another 1,000MW liquified natural gas (LNG)-to-power plant will be constructed in Coega, with both the Richards Bay and Coega plants relying on imported gas to generate power.Independent power producers will undertake the projects.The Department of Energy released a preliminary information memorandum on the project earlier this week. It outlines the scope of the LNG-to-power for prospective and interested bidders to consider. A bidder will be chosen for each port and pre-qualified bidders will have to have South African equity participation to at a threshold of 35%.Bidders will also have to contractually commit to third party access to the unused capacity of the gas terminal. A request for quotations is expected to be issued in November, with an announcement of pre-qu...
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