Karpowership secures environmental go-ahead for Richards Bay plant

Karpowership South Africa says it secured authorisation from the environment department for its Richards Bay energy project.

This follows the Turkish company’s submission of biodiversity offsets proposed to mitigate residual environmental impacts of its floating power plant off Richards Bay in northern KwaZulu-Natal.

The National Energy Regulator of South Africa awarded Karadeniz Holding, in conjunction with South African BEE partners Powergroup SA, a 20-year tender worth more than R200bn in 2021 to extract liquefied natural gas offshore at Richard’s Bay, Coega and Saldanha as part of the country’s risk mitigation independent power producer procurement programme.

Karpowership has undertaken comprehensive assessments to measure the impact of water discharges on marine life and ecological systems and said hydrodynamic reports determined the thermal plumes will not exceed biological thresholds.

The company said on Friday the environmental authorisation “represents a critical milestone in its participation in the Risk Mitigation Independent Power Producer Procurement Programme that will lead up to reaching financial close”.

“The decision not only vindicates Karpowership SA’s thorough EIA methodology and process that included comprehensive and inclusive public participation in Richards Bay, but also demonstrates the department’s willingness to objectively evaluate the information at hand.

“This decision is further justification that our powerships exceed international and South African environmental standards and we are pleased this has been recognised.

“The outcome represents a turning point in this extensive process.”

Its next focus is on meeting financial close, which will “require us to finalise our agreements with Transnet National Ports Authority”, the company said.

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