Andre de Ruyter’s right-hand man scores big in R9.5 billion battery storage projects

Mulilo Energy, chaired by Andre de Ruyter’s former right-hand man, Jan Oberholzer, has been awarded four large battery storage projects.

Oberholzer served as Eskom’s chief operating officer (COO) under former chief executive De Ruyter and became a household name during a turbulent time at the power utility.

He retired on 30 April 2023 but signed a fixed-term contract to provide support to the Koeberg Nuclear Power Station long-term operation (LTO) and Kusile Power Station projects.

On 31 July 2023, Eskom and Oberholzer parted ways by mutual agreement. Soon afterwards, he entered the private sector.

In September 2023, Mulilo Energy announced the appointment of Oberholzer as a non-executive director and chairman of its board of directors.

Mulilo valued his extensive background in the energy sector and a proven track record of leading large and complex organisations, as well as managing multi-billion-dollar projects.

“He is globally recognised for his dynamic leadership and his commitment to fostering positive change within the energy industry,” it said.

“His strategic vision aligns seamlessly with the company’s mission of bringing large-scale wind, solar and battery storage projects into operation in South Africa.”

Mulilo said they were confident that Oberholzer’s guidance would help it accelerate its contributions to a cleaner, more sustainable future.

“Over the next 5 years, we aim to develop, own and operate 5 GW of wind, solar and battery storage projects. This, certainly, promises a lot for the future,” it said.

Oberholzer said Mulilo was what South Africa needed, as it was a pivotal organisation investing in long-term, diverse, and sustainable energy solutions.

“I intend to build on the achievements of my predecessors and ensure the energy Mulilo generates helps grow the South African economy through its cost competitiveness,” he said.

“I am truly honoured to serve this remarkable organisation as its chairman and look forward to this new and exciting chapter with gratitude”.

Mulilo a big winner in South Africa’s Battery Energy Storage projects

Mulilo was a big winner in South Africa’s Battery Energy Storage Independent Power Producers Procurement Programme (BESIPPPP).

Mulilo and Scatec were named as preferred bidders to develop 616 MW / 2,464 MWh of new battery storage capacity for R9.5 billion in the Free State.

Mulilo has been awarded four projects, which will deliver 493 MW / 1,972 MWh of Battery Energy Storage Systems (BESS) installations under 15-year power purchase agreements with Eskom.

All awarded projects are located in the Free State, South Africa and will include:

• Erfdeel BESS (123MW/ 492MWh)
• Retreat BESS (123MW/ 492MWh)
• Bloemhoek BESS (124MW/ 496MWh)
• Vanilla BESS (123MW/ 492MWh)

This latest achievement follows Mulilo’s success in Round 2 of BESIPPPP, where the company secured five BESS projects.

With this Round 3 win of four projects, Mulilo further solidified its position as South Africa’s leading IPP in the deployment of BESS technology.

To date, Mulilo has successfully participated in 12 of the 18 projects awarded under BESIPPPP, whilst taking majority ownership and a lead role in 9 of the awarded projects.

In total, this amounts to 1.134 GW / 4.536 GWh in the BESS 1-3 bid windows, a total market share of 65%.

Mulilo’s continued success is underpinned by the South African government’s efforts to address a constrained electricity network.

It also supports the integration of renewable energy and reduces reliance on an ageing coal-fired power generation fleet.

“BESS is vital for South Africa. It provides grid stability, enhances the dispatchability of renewables, reduces load shedding, and optimises costs,” Mulilo’s CEO, Jan Fourie, said.

“Being named Preferred Bidder in BESIPPPP Round 3 underscores our leadership in BESS and our commitment to building a low-carbon, resilient energy future the country.”

Mulilo currently operates 420 MW of wind and solar projects, with 764 MW under construction and more than 1,500 MW targeted for Financial Close by December 2025.