- The Government of South Africa has launched an Independent Transmission Projects (ITP) market sounding exercise or request for information (RFI), a key initiative to transform the country’s energy and infrastructure sectors.
- This is the first step towards the launch of the ITP pilot tender planned in 2025.
Treasury says that South Africa’s ability to achieve its ambitious infrastructure investment goals set at 10% of GDP hinges on the successful mobilisation of public and private capital. As such, this market sounding exercise is designed to gauge the level of interest and readiness among industry stakeholders, and to explore innovative, alternative models for the development and delivery of power transmission infrastructure and expedite the implementation of the Transmission Development Plan
The RFI exercise seeks to gather insights on the market’s interest, capabilities, and potential solutions for accelerating transmission infrastructure development. The RFI will assist in the design of an effective procurement framework, inform the development of regulatory instruments, and guide the preparation of the tender documents.
The RFI exercise is open to all interested parties, including private developers, financiers, DFIs and other interested stakeholders. Responses to the RFI will play a critical role in shaping the final structure of the tender and the successful implementation of the ITP programme.
This ITP process aims to unlock substantial investment in transmission infrastructure, which is crucial for supporting economic growth, attracting private sector participation, and driving innovation in the energy sector.
Government’s Commitment to Infrastructure Development and Economic Growth
The Government has identified the ITP programme as a cornerstone in achieving its economic growth target of 5% as outlined in the National Development Plan (NDP). Therefore, the ITP programme is a strategic response to South Africa’s constrained fiscal position, Eskom’s limited balance sheet, and the need for greater private sector involvement in the country’s energy transition.
RFI Details
The Government urges all interested parties, including developers, funders, and financiers, to participate in this important exercise by submitting their responses to the RFI. This is an opportunity to engage with the government on a project of national importance, which will contribute to South Africa’s energy future and long-term economic growth.
Interested stakeholders are invited to submit their RFI responses from 12 December 2024 to 28 February 2025. Full details of the RFI process, including instructions on how to submit responses, will be available by clicking here.
For further information, please visit the provided link, scan the QR code below, or contact the Independent Power Producer Office (IPPO) directly via email at itp-rfi@ipp-projects.co.za
Please note that interested stakeholders must provide their contact details to the IPPO at the above email address to enable the IPPO to communicate them should there be an update to the RFI and/or for any future engagements on the ITP RFI.
The RFI was Jointly issued by National Treasury and the Ministry of Electricity and Energy
Author: Bryan Groenendaal
