President Jacob Zuma said in his State of the Nation address to a joint sitting of both houses of Parliament that the South African government would spend R846-billion on public infrastructure during the next three years, with a particular emphasis on energy, transport and communications infrastructure.
Zuma mandated a new inter-Ministerial committee on energy to develop a 20-year integrated resource plan for new power-generation capacity and to look into the participation of independent power producers (IPPs). “We will establish an independent system operator (ISO), separate from Eskom Holdings,” Zuma promised, a structure which is seen as being crucial to levelling the playing energy field for IPPs.
The Department of Energy promised progress on the legal framework for the ISO, which will probably need to be backed by a State guarantee. Zuma said that Eskom would continue to build additional generation capacity and improve the maintenance of its power stations, and stressed the importance of the State capital investment programmes to the rebuilding of South Africa’s recession-hit economy. Municipalities must also improve the provision of housing, water, sanitation, electricity, waste management and roads.
The reduction of broadband, cellphone, landline and public phone rates was to coincide, Zuma said, with projects that were being initiated to increase broadband speed and ensure a high standard of Internet service, in line with international norms.
He committed government to setting up a R1-billion guarantee fund to incentivise the private banking and housing sector to develop new housing products to meet the demand for accommodation.
Well-located informal settlements would be upgraded, while proper service and land tenure would be extended to at least 500 000 households by 2014, he said. “We plan to set aside over 6 000 hectares of well-located public land for low-income and affordable housing,” he added.
If these steps are taking timeously, the slowing tempo of the project economy could be raised. At least one project house has been latching on to Chinese project investment in Africa while also avoiding full exposure to lump-sum turnkey (LSTK) contract work. It has done so by opting for a hybrid form of the more staid engineering, procurement and construction management (EPCM) route, by continuing the LSTK approach when it comes to the ‘E’ and the ‘P’ and the ‘M’ in EPCM work, but insisting that the more risky ‘C’ for construction be reimbursable. The return of the global project economy after the global financial meltdown has been more subdued than expected.
Fears of a double-dip and new euro-zone worries around the economies of the so-called PIGS countries of Portugal, Ireland, Greece and Spain are creating new project uncertainty. Last time around, the banks defaulted; this time around, it is countries that are threatening to default.
Staying at the forefront of the private sector’s project programme against this background are gold projects, particularly those that are not energy and capital intensive.
Those projects that are fully funded and well into their cycle are going ahead, but at tempos far less hectic than during the prior period of the economic boom, when project houses were awash with project opportunity.
This publication again provides an outline of projects under way and gives readers a sense of the current state of South Africa’s project economy.This report tracks the progress on selected major industrial and mining projects under way in South Africa, as well as a number of projects on the rest of the African continent . SHOW LESS READ MORE >
Airports and Aviation Projects
King Shaka International Airport at La Mercy and Dube Tradeport
CIC Energy’s Mmamabula energy project
Eskom’s Alpha/Eros transmission power-line project
Eskom’s concentrating solar-power demonstration plant
Eskom’s Ingula pumped-storage scheme
Eskom’s return-to-service project
Sasol’s combined-cycle gas-turbine power plant
St Helena Bay wind-farm project
Hulamin’s capacity expansion project
Pebble-bed modular reactor project
PetroSA’s Project Mthombo
Sasol’s Project Mafutha
Sasol’s wax expansion project
Property Development – Green Building Projects
Menlyn Maine city precinct
Nedbank head office phase 2
Sports infrastructure Projects
Green Point stadium
Moses Mabhida stadium
Nelson Mandela Bay stadium
New Peter Mokaba stadium
Royal Bafokeng Sports Palace upgrade
Soccer City stadium upgrade
Transport and Logistics Projects
The Gauteng provincial government’s Gautrain rapid rail link
Transnet Freight Rail’s coal-line export channel expansion project
Transnet Freight Rail’s iron-ore line export-channel expansion project
Transnet Port Terminals’ Cape Town port infrastructure upgrade
Transnet Port Terminals’ Durban port upgrade and expansion
eThekwini water and sanitation projects
ArmCoal’s and Xstrata Coal’s Goedgevonden coal project
BHP Billiton’s and Xstrata’s Douglas/Middelburg optimisation project
BHP Billiton Energy Coal South Africa’s Klipspruit coal project
Exxaro Resources’ Grootegeluk Medupi expansion project
Riversdale Mining’s Benga coal project
Sasol Mining’ and Exxaro Resources’ Mafutha coal mine project
Sasol Mining’s Thubelisha coal-mine project
Great Basin Gold’s Burnstone gold project
Gold Fields’ South Deep gold mine expansion
Randgold Resources’ Yalea underground project
Assmang’s Khumani iron-ore expansion project
Kumba Iron Ore’s Kolomela iron-ore project
Anglo Platinum’s Amandelbult East UG2 project
Anglo Platinum’s Styldrift Merensky Phase 1 project
Anglo Platinum’s Thembelani 2 shaft replacement project
Anglo Platinum’s Twickenham project
Anglo Platinum’s Unki project
Impala Platinum’s No 16 shaft project
Impala Platinum’s No 17 shaft project
Impala Platinum’s No 20 shaft project
Northam Platinum’s Booysendal platinum project
Platmin’s Pilanesburg platinum mine
Zimplats’ Ngezi platinum project
First Uranium’s Mine Waste Solutions tailings recovery project
- CIC Energy
- PBMR Company
- South African National Roads Agency
- Trans Net
- Trans-Caledon Water Authorty
- BHP Billion
- Exxaro Resources
- Riversdal Mining
- Gold Fields
- Great Basin Gold
- Randgold Resources
- Kumba Iron Ore
- Anglo Platinum
- Impala Platinum
- First Uranium