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Eskom Opens Pre-Qualification Tender to Boost Private Investment in Transmission Infrastructure

South Africa’s state-owned power utility Eskom has launched a pre-qualification tender to attract private sector investment into the country’s Independent Transmission Projects (ITPs)—a move seen as a key step in modernising the national grid and accelerating the energy transition.

The pre-qualification process invites prospective investors and financiers to register their interest in funding the construction of new transmission lines and related infrastructure. This initiative aims to unlock large-scale private capital to bolster grid capacity, improve reliability, and enable greater integration of renewable energy sources.


Milestone in South Africa’s Energy Transition

Eskom Group Chief Executive Dan Marokane hailed the development as a “significant milestone” in South Africa’s journey towards a low-carbon energy future.

“This is a major step towards delivering new transmission infrastructure that will foster greater competition and accelerate the shift from high-carbon to low-carbon energy sources—driving economic growth to the benefit of all citizens,” Marokane said.

He attributed the progress to the leadership of the Minister of Electricity and the National Treasury’s Director General, and noted that the initiative is supported by a transparent policy framework designed to give investors confidence through predictable governance, clear rules, and a structured environment for competitive bidding.


NTCSA at the Helm

The programme is being implemented through Eskom’s wholly owned subsidiary, the National Transmission Company South Africa (NTCSA), in collaboration with the Ministry of Electricity and Energy and the National Treasury.

NTCSA has been tasked with providing the technical and regulatory backbone of the ITP initiative, including strategic planning, procurement models, contractual frameworks, and legal structuring—all designed to ensure that projects are bankable and implementation-ready.


Seven Priority Projects in Phase 1

Under Phase 1 of the ITP programme, seven priority transmission projects are being prepared for procurement. These extend beyond the greater Cape regions and are scheduled to reach implementation readiness by 2026.

“We are confident that NTCSA will continue to move forward with these projects to ensure readiness for private sector construction after the procurement process concludes,” Eskom said in a statement.


Part of a Bigger Grid Development Vision

The ITP programme forms a central pillar of South Africa’s Transmission Development Plan, which outlines a multi-year roadmap for expanding and modernising the national grid. The plan aims to accommodate the growing influx of renewable energy, meet rising electricity demand, and support the country’s economic development goals.

If successful, this public–private model could mark a turning point for South Africa’s energy sector—mobilising fresh capital, speeding up infrastructure delivery, and reducing reliance on coal-fired power while enhancing grid resilience.

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