Several renewable energy projects in South Africa, which were selected over a year ago to alleviate electricity shortages and introduce private generation, are facing challenges in reaching financial close due to rising costs. According to Mike Scholey, the CEO of Globeleq, one of the developers, around a dozen projects with a combined capacity of over 1,000 megawatts are encountering obstacles due to increased financing and other charges. This situation has led to delays in delivering these projects. The country is grappling with severe power cuts caused by breakdowns in Eskom's coal-fired units, exacerbating the need for reliable electricity supply. Additionally, some projects have been hindered by a lack of connections to the national grid. In the sixth round, wind stations were overlooked, raising concerns about limited investment opportunities. To address these challenges, Globeleq suggests selling electricity directly to private consumers instead of relying solely on Eskom. This approach could offer a short-term solution and enable direct sales to end-use customers. Globeleq, as part of the Ikamva Consortium, emerged as the preferred bidder in the fifth round, alongside partners Mainstream Renewable Power, Africa Rainbow Energy & Power, and H1 Holdings.