African power development company Ncondezi Energy Ltd (LON:NCCL) has put on hold an ongoing solar-plus-storage project for a commercial and industrial (C&I) client in Mozambique due to the coronavirus pandemic.
Ncondezi Energy said in a statement that the project off-taker has issued a force majeure notice because of the inability to provide site access for construction at this time. Still, the company believes that the facility could be commissioned in the second quarter, as planned, should restrictions ease next month.
CEO Hanno Pengilly stated that as long as the force majeure notice is in place, Ncondezi Energy will not undertake further construction costs. “The company is working closely with all parties involved in the project. All major equipment is in secure storage facilities ready for future deployment when the restrictions are lifted,” he said.
In October 2019, the firm signed an agreement with GridX Africa Development to finance the development of the 400-kWp, off-grid solar photovoltaic (PV) array, coupled with a 228-kW/912-kWh energy storage system. The parties previously agreed to form a joint venture to execute a pipeline of such projects for the African C&I sector.
“The move into the C&I solar and battery storage sector represents a significant opportunity for the Company to complement its existing large-scale baseload power project and access near-term low-risk annuity income streams which the Company believes has significant growth potential,” Pengilly said at the time.
Source: Renewables Now
