The Department of Electricity and Energy has issued a significant amendment to the Request for Proposal (RFP) for the first round of the Gas Independent Power Producer Procurement Programme (GASIPPPP BW1). This update follows extensive engagement with prospective bidders and addresses key concerns raised during the clarification process.
Key Details
- Purpose: The amendment aims to refine the procurement process for 2,000 MW of gas-fired power generation, ensuring greater clarity and risk mitigation for bidders.
- Scope: The RFP now incorporates changes impacting project-on-project risk (especially for facilities in the City of uMhlathuze reliant on the Transnet National Ports Authority's gas terminal), legal functionality criteria regarding Environmental Authorisations, load factor requirements, a revised Minimum Load Commitment option, ramp-up and ramp-down performance standards, and the gas pricing mechanism.
- Bid Submission Extension: The Bid Submission Date has been extended from 31 October 2025 to 29 May 2026, providing bidders with additional time to prepare robust responses.
- Critical Dates:
- Last date for submission of written questions: 30 March 2026 (40 business days before the new Bid Submission Date)
- Final date for compulsory Bid Registration and payment of the Bid Submission Registration Fee: 15 April 2026 (30 business days before the Bid Submission Date)
- Access to Amended RFP: The revised RFP is available for download by registered parties at www.ipp-gas.co.za/
- Contact: Queries should be directed to query@ipp-gas.co.za.
Final Remarks
This amendment marks a pivotal moment for participants in South Africa's gas-to-power sector. The extended timeline and clarified requirements offer a valuable window for bidders to optimise their submissions and manage project risks. At White & Case LLP, our deep experience in complex energy procurements positions us to support you at every stage—from interpreting the amended RFP and addressing legal or regulatory hurdles, to structuring your bid and ensuring compliance with all updated criteria.
Mame-Diara Mbaye (Associate, White & Case, Johannesburg) co-authored this publication.
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This article is prepared for the general information of interested persons. It is not, and does not attempt to be, comprehensive in nature. Due to the general nature of its content, it should not be regarded as legal advice.
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