The National Transmission Company South Africa (NTCSA) has formalised agreements with 28 local companies to expedite the construction of transmission substations. The initiative is part of NTCSA’s broader strategy to enhance the country’s transmission infrastructure in line with its Transmission Development Plan (TDP).
The development follows NTCSA’s launch of a comprehensive maintenance programme covering 33 000 km of transmission lines and over 170 substations.
These agreements, structured as long-term panel contracts, bring the total number of suppliers engaged by NTCSA to over 60. The suppliers are involved in fundamental areas such as transformers, engineering services, overhead lines and substations.
NTCSA leadership has identified two priority programmes to tackle South Africa’s transmission challenges, says Interim Chief Executive Officer Segomoco Scheppers. The priority programmes are:
- Additional Transformation Programme targeting 13 GW of transmission capacity
- Expedited Projects Programme aiming to add 24 GW of capacity.
“These projects are at various stages of implementation in terms of design, procurement and construction,” he says.
Substation panel structure
The agreements are divided into two panels:
- Panel A: Engineering, procurement and construction (EPC) services comprising 18 companies.
- Panel B: Procurement and construction (PC) services involving 20 companies.
Some contractors are qualified to provide services under both panels. The contracts were awarded after an open tender process.
The next phase of the two prioritised programmes will entail the panellists competing for various projects throughout the panel. “The process to augment both panels of EPC and PC substation contractors will be opened every year around August and September to enable other companies within this field of the industry to participate, increase capacity and deliver on the NTCSA’s infrastructure programme,” the NTCSA said in a statement.
Localisation and procurement strategy
NTCSA’s contracting strategy integrates localisation objectives to align with legislative requirements and enhance local industry participation. By segmenting the substation construction scope into two panels, the company aims to optimise project delivery and procurement processes, the NTCSA said.
The substation panel contractors include:
- ACTOM
- Adenco Construction
- Amulet Group
- Beacon Technologies
- Coeng Consulting and Construction Engineers
- CIS-G-LTA joint venture (JV)
- Eskom Rotek Industries
- Gridbow Engineers and Technical Services
- Nkhalaba Trading
- ISF/Striving Mind JV
- SPM-RT Tshabalala JV
- Lenado Projects
- Leswao Facilities Management
- Larsen & Toubro
- Lubocon Civils
- Machite Engineering
- Mkhulu Electro Distribution Projects
- Murray & Roberts
- Olot Engineering
- Shonisani Rambau Construction
- Semilson Group
- Sivtek Hamsa Geda JV
- Siyavuya Power Projects
- Thenga Holdings
- Tractionel Enterprise
- Tushcor Holdings
- VE Reticulation
- YNF Engineering
In August, NTCSA partnered with 19 local companies in a R32 billion initiative to expand the transmission grid. This collaboration focuses on overhead line construction to enhance grid capacity.