(A) The development fee of the Baseload Coal Independent Power Producers Procurement Programme has been set in the Request for Proposals (RFP) (December 2015) at 1.75% of the Total Project Value. The development fee is utilised as a cost recovery mechanism for costs incurred in the design, development, procurement and implementation over a 30-year contract term. The exact Rand value of the Development Fee can only be calculated once all the preferred bidders have reached Financial Close.
Approved / Not Approved
Mr J T Radebe, MP
Minister of Energy
Date: