The parabolic trough plant is expected to generate enough electricity for about 80,000 local households, the developer estimates. It includes a molten salt storage capacity that can provide up to 2.5 hours of electricity after sunset or before dawn. The plant’s output will be sold to local power utility Eskom under a 20-year contract.
According to Abengoa’s estimates, the Kaxu Solar One represents a nearly USD-891-million (EUR 796m) direct and indirect investment to South Africa and will bring about USD 516 million in taxes over the next 20 years.
Abengoa owns a 51% stake in the Kaxu Solar One park, while the KaXu Community Trust holds 20%. The remaining 29% interest is in the hands of South Africa-based Industrial Development Corp (IDC). The Spanish firm also owns the 100-MW Xina Solar One and the 50-MW Khi Solar One CSP projects in South Africa.
South Africa aims to have as much as 17,800 MW of renewable energy capacity by 2030.