The National Transmission Company South Africa (NTCSA) and the Industrial Development Corporation (IDC) have signed a memorandum of understanding aimed at supporting South Africa’s transmission expansion programme and strengthening local manufacturing capacity for grid infrastructure.
According to the NTCSA, the agreement will focus on project development, execution support and industrial financing for NTCSA-verified suppliers participating in the country’s grid expansion programme.
A joint steering committee will oversee implementation and coordinate agreed workstreams.
The agreement supports the NTCSA’s broader 2025 to 2034 Transmission Development Plan (TDP), which includes the construction of about 14 500 km of transmission lines, new substations and the installation of about 210 transformers.
The NTCSA says the expansion is aiming to strengthen the grid, particularly in the Western Cape, Eastern Cape and KwaZulu-Natal where transmission constraints have increasingly affected the integration of new generation capacity.
IDC Chief Executive Officer Mmakgoshi Lekhethe says strengthening South Africa’s energy system remains critical for industrial and economic development.
“As the IDC, we stand ready to fund viable entities that will be selected to be part of this grid network expansion programme,” Lekhethe says.
NTCSA Chief Executive Officer Monde Bala says the transmission build programme is expected to increase demand for locally manufactured components and materials.
“This agreement is designed to support verified suppliers identified by the NTCSA and equip them with the technical expertise and potential financial backing from the IDC,” Bala says.
“Ultimately, this will help build sustainable capacity for delivering on the TDP projects.”
According to Bala, the partnership will support supplier development, localisation and industrialisation initiatives linked to the transmission rollout. Constrained commodities such as transformers, insulators, transmission steel and other grid infrastructure components will be prioritised under the agreement, he says.
