SA Launches Independent Transmission Projects RFI to Drive Energy Infrastructure Development

South Africa’s ambitious infrastructure investment target, set at 10% of Gross Domestic Product (GDP), hinges on mobilizing significant public and private capital.

In a bold step to revolutionize the country’s energy and infrastructure sectors, the South African government has launched the Independent Transmission Projects (ITP) Request for Information (RFI) initiative. This market-sounding exercise aims to attract substantial investments, foster private sector involvement, and expedite the development of vital power transmission infrastructure to support the country’s economic growth.

The National Treasury emphasized the strategic importance of the initiative: “This market-sounding exercise is designed to gauge the level of interest and readiness among industry stakeholders and to explore innovative, alternative models for developing and delivering power transmission infrastructure. This will help expedite the implementation of the Transmission Development Plan.”

A Strategic Move Toward Energy Transformation

South Africa’s ambitious infrastructure investment target, set at 10% of Gross Domestic Product (GDP), hinges on mobilizing significant public and private capital. The ITP initiative represents a critical pillar of this effort, particularly as the nation grapples with energy challenges and the need to transition toward a sustainable, modern energy grid.

The RFI process is designed to:

• Assess market interest and readiness.
• Explore innovative models for transmission development.
• Inform the design of an effective procurement framework.
• Shape regulatory instruments and refine tender documentation.

According to the National Treasury, responses to the RFI will provide key insights that will guide the final design and implementation of the ITP programme.

Opportunities for Stakeholders

The RFI process is open to a broad spectrum of participants, including private developers, financiers, development finance institutions (DFIs), and other stakeholders. Contributions are expected to help address infrastructure challenges, attract investment, and fast-track the deployment of energy solutions to improve reliability and access.

Interested parties are invited to submit responses from 12 December 2024 to 28 February 2025. Detailed instructions on submitting responses and participating in the RFI process can be accessed via the National Treasury’s official platform.

Driving Toward a Sustainable Future

In addition to unlocking investments, the ITP programme aligns with South Africa’s broader goals of increasing renewable energy integration and reducing carbon emissions. National Treasury highlighted that the initiative would also contribute to developing a more inclusive and resilient energy sector.

Through collaborative efforts between the public and private sectors, the ITP programme is poised to transform South Africa’s energy infrastructure, paving the way for economic growth and environmental sustainability.

Further updates and details on the tender process will be shared as the initiative progresses.