NTCSA appoints EPC of transmission line suppliers to accelerate infrastructure rollout

The National Transmission Company South Africa (NTCSA) is making significant strides in increasing its infrastructure capabilities. Today, long-term agreements were signed with 19 local companies in the various categories of overhead line construction panels i.e., Engineering, Procurement and Construction (EPC), Procurement and Construction (PC) and Construction. Five (5) companies were signed on for EPC, nine (9) companies for PC and a total of seventeen (17) companies for Construction.

This marks a pivotal moment in the country’s commitment to improving its transmission grid capacity. This follows the Eskom Transmission Division, which is the predecessor to NTCSA, issuing an open tender enquiry in May 2023. This marks a pivotal moment in the country’s commitment to improving its transmission grid capacity.

Furthermore, the process to be appointed to the EPC panel will be opened to the market annually on the anniversary of the panel, which is around July each year, to enable other companies to participate. The suppliers will compete for various tenders over the coming years, and the contracts are expected to be worth in the region of R32 billion over eight years.

“The NTCSA’s strategic move to accelerate the development of the transmission infrastructure through partnerships is a significant step towards enhancing South Africa's power network that underscores the importance of strategic planning and efficient execution,” stated Segomoco Scheppers, Interim Chief Executive Officer of NTCSA.

“This milestone not only demonstrates the collaboration between the public and private sectors, but is expected to support economic growth by creating sustainable and skilled job opportunities,” he continued.

Localisation strategy
The contracting strategy has been designed to allow for efficient procurement processes to maintain and strengthen governance and reduce lead times to adequately deliver on the Transmission Development Plan (TDP) requirements, while promoting localisation as per legislation.

The scope for line construction has been divided into three different transmission lines panels namely:
• Engineering, Procurement and Construction (EPC),
• Procurement and Construction (PC),
• Construction

This approach is to allow for a specialised focus on each aspect of the infrastructure development, thereby optimising the overall process.

Having the three panels provides flexibility in the procurement strategy approach and ensures inclusivity of all contractor capabilities. The services to be provided will encompass engineering detailed designs, procurement, construction, testing, commissioning, and handover of assets to the NTCSA.

This approach demonstrates a commitment to continuity and stability in the energy sector, providing these companies with a platform to compete for various tenders. This competition is expected to drive innovation and efficiency, ultimately benefiting the rollout of the NTCSA infrastructure development plan.

Regular updates on the TDP projects and related initiatives will be provided by the NTCSA in due course.

The 19 local companies that have signed agreements are:
1. Ady Em Technical (Pty) Ltd
2. Bona-GPWG JV
3. Imbawula Technical Services and Suppliers Group (Pty) Ltd
4. KRM Global Works (Pty) Ltd
5. Letacla (Pty) Ltd
6. Melees Electrical Lines (Pty) Ltd
7. Mico Construction (Pty) Ltd
8. Mkhulu Electro Distribution Projects (Pty) Ltd
9. Murray and Roberts (Pty) Ltd
10. NYC Water and Mining (Pty) Ltd
11. Olot Engineering (Pty) Ltd
12. Power Line Africa (SA)(Pty) Ltd
13. Rethuseng Live Line and Services (Pty) Ltd
14. Siya and Aya Engineering (Pty) Ltd
15. Siyavuya Power Projects (Pty) Ltd
16. SKM Africa (Pty) Ltd
17. Take Five To Make Ten General Trading
18. Thenga Holdings (Pty) Ltd
19. Tractionel Enterprise (Pty) Ltd