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Metro to appoint advisor for power station revitalisation

The metro plans to release the two power stations to the market for long-term leases of 40 years to unlock their full potential and make the city energy secure.

Despite recent claims of stalled progress, the Tshwane metro is pushing ahead with plans to reactivate two city-owned power stations.

The metro is set to appoint a Transactional Advisor (TA) to assist in crafting a comprehensive and sound Request for Proposal (RFP) to attract independent power producers to reactivate two city owned power stations.

The metro aims to unlock the full potential of these power stations, valued at over R360-million, and ensure a reliable energy supply for the city.

To achieve this goal, the Tshwane Economic Development Agency (TEDA) will facilitate the appointment of a TA to develop a comprehensive RFP.

The RFP will attract independent power producers to submit proposals for the reactivation and operation of the Rooiwal and Pretoria West power stations, according to the metro.

Metro spokesperson Lindela Mashigo emphasised that the appointment of the advisor is a critical step towards achieving energy security for the city.

“The TA will draft and issue the RFP, which will enable us to source the best possible offers from independent power producers,” Mashigo explained.

He said the metro expects to appoint the advisor by the end of September and issue the request by the end of March 2026.

Rooiwal Power Station.

The independent power producer(s) will be appointed by the end of June 2026.

Mashigo refuted claims that the city had stalled the plans, referring to the need to secure funding and explore co-funding opportunities with organisations such as the Gauteng Infrastructure Financing Agency (GIFA) and the Government Technical Advisory Centre (GTAC) at National Treasury.

The Tshwane Council approved in January 2024 that the properties where the two power stations are located, may be released to the market for long-term leases.

Recently, the DA in Tshwane accused the new coalition of stalling the plans to reactivate the two power stations, stating that Tshwane’s power station plans were stalling under ANC control.

Mashigo said by the end of September 2025, TEDA would have appointed the advisor.

“We expect the advisor to draft and issue [the] RFP to attract proposals by independent power producers to generate power at power stations by end of March 2026,” Mashigo said.

The Rooiwal and Pretoria West power stations and other energy sources are expected to inject about 1 000 MW of alternative energy to improve the economy, reduce power blackouts and reliance on Eskom.

Mashigo said the explicit instruction to TEDA is to facilitate this process of securing an advisor in the most cost-effective way.

“In that regard, TEDA and the city’s Energy Task Team have been engaging with the Gauteng Infrastructure Financing Agency (GIFA) and the Government Technical Advisory Centre (GTAC) at National Treasury to ensure that these processes are cost-effective and to explore co-funding opportunities related to securing the TA services.

“These engagements are ongoing and have already yielded a co-funding arrangement with GIFA on TA services related to Pretoria West power station,” said Mashigo.

He said in addition, there was a change in the political administration in September/October 2024 and as part of the normal transition processes and handover the new (current) administration had to briefed first on the work of the Energy Task Team and the city as it relates to the power stations and its reactivation.

Mashigo emphasised that reactivation of the power stations is a key mayoral strategic priority and hence the project is being funded.

The power stations have not been performing at maximum capacity for a while due to various reasons, including underinvestment in infrastructure.

While Tshwane owns the stations, spending approximately R300-million annually in maintenance and security, they have been operated by Eskom.

The Pretoria West coal-fired power plant, built in 1952, has not been operational since 2012, despite costing the metro hundreds of millions a year. Energy experts have been critical of the structure, technology and environmental impact of this plant.

Tshwane DA caucus leader Cilliers Brink said since his party was removed from office, the plans to revitalise the power stations seem to have stalled.

“A year ago the city council resolved to lease Rooiwal and Pretoria West power stations to independent power producers as a first step to unlocking their generation capacity to the city’s benefit.”

Brink said the power stations have been in disuse for years. “We planned to make the most of private sector investment and expertise to get the power stations fired up. This would’ve reduced Tshwane’s reliance on Eskom and mitigated the effects of load-shedding.

“Even if Eskom could end load-shedding, the South African economy would need a bigger supply of electricity to enable economic growth. These power stations gave the city an important competitive advantage in doing so.”

Brink said after the conclusion of the Tshwane Energy Summit last year, the next step was for the city to appoint a transactional adviser to put together an RFP.

“With such an RFP the city can source the best possible offer in the market instead of relying on a single investor. With the changing energy market, there is even an opportunity for Tshwane to reduce its bulk electricity costs.”

Brink said his administration budgeted for the appointment of such a transactional adviser, and the energy task team appointed under his mayorship was instructed to work with TEDA to get the ball rolling.

“But all efforts on the power stations seem to have come to an end when the DA and our coalition partners were voted out of office in September 2024. In the meantime, precious time has been lost.”

He added that the brief return of load-shedding in recent weeks should be a wake-up call for metros about the importance of investing in their energy independence.

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