The National Transmission Company South Africa (NTCSA) has earmarked a massive R112 billion ($6.3 billion) investment through its Transmission Development Programme (TDP) to transform the nation’s transmission grid. This investment is a strategic move to integrate approximately 30,000 MW of utility-scale renewable energy into the grid over the next five years, propelling South Africa towards its clean energy objectives.
At the NTCSA’s inauguration event on October 7, 2024, Chairperson Priscillah Mabelane underscored the critical nature of the TDP and the necessity for strong partnerships with the private sector to ensure its success. She acknowledged the pivotal role of private enterprises in achieving the target of adding 53,000 MW of capacity within the coming decade and emphasized the pressing need to expand the grid swiftly to accommodate the burgeoning renewable energy sector.
The TDP by NTCSA is set to be a cornerstone in the country’s renewable energy revolution. With the rise of independent power producers (IPPs), many of which are focused on renewable energy, South Africa has witnessed a surge in green energy initiatives. Despite this growth, these projects have encountered substantial hurdles, chiefly due to the lack of a robust transmission infrastructure capable of distributing generated electricity nationwide.
To overcome these obstacles, NTCSA is committing to the development of 30,000 MW of renewable energy capacity, with plans to have this capacity grid-connected by 2029. This ambitious plan is poised to make a significant dent in South Africa’s energy crisis, with an anticipated 11,000 MW of new capacity expected to be operational by 2027.
Since commencing operations on July 1, 2024, NTCSA has prioritized grid expansion, recognizing the severe constraints of Eskom’s existing transmission network. The TDP includes a broader vision for a decade-long R390 billion ($22.1 billion) investment, which will fund the construction of 14,000 km of new transmission lines. These lines are intended to support IPPs by distributing their renewable energy output to areas with high demand.
NTCSA has already secured agreements with 19 private companies for various grid expansion projects. These collaborations are crucial to accelerating the development of the infrastructure needed to ensure that the generated renewable energy can be efficiently delivered to where it is most needed.
The TDP is not only about enhancing the grid’s capacity but also about bridging the current gap between electricity supply and demand, particularly as the country moves away from its heavy dependence on coal. NTCSA’s strategic goal is to fortify the national grid, bolster the shift to renewable energy, and ensure South Africa’s alignment with international climate change commitments.