Project preparation, infrastructure financing and regional interconnector development will be areas of cooperation under a memorandum of understanding (MoU) signed by the National Transmission Company South Africa (NTCSA) and the Development Bank of Southern Africa (DBSA).
The agreement, signed on July 31, establishes a framework for cooperation rather than a committed financing facility or transmission construction programme.
It was signed on the same day the Presidency announced the endorsement of the high-level proposal for separating the Transmission System Operator from Eskom, clearing the way for detailed transaction and implementation planning to begin.
The MoU covers project preparation, institutional capability, programme implementation and potential financing in support of the Transmission Development Plan. The institutions will also cooperate in the development of regional transmission interconnectors.
“The scale of South Africa’s transmission expansion requires strong partnerships that combine technical capability with innovative financing solutions,” DBSA CEO Boitumelo Mosako said.
NTCSA CEO Monde Bala said the agreement intends to support faster development of transmission infrastructure and enable investment in new generation capacity.
The parties expect cooperation with multilateral development banks, development finance institutions, institutional investors and other partners to increase under the framework.
