Transmission development plan 2015-2024 - Eskom

1 Transmission development plan 2015 -2024. Disclaimer The purpose of publishing the TDP is to inform stakeholders about the proposed developments in the Eskom Transmission network. These plans are subject to change as and when better technical solutions are identified or when more accurate developmental information becomes available. The information contained in the TDP. should, therefore, not be used for any purpose other than for sharing this information. The contents of this document do not constitute advice, and Eskom makes no representations regarding the suitability of using the information contained in this document for any purpose. All such information is provided as is without warranty of any kind and is subject to change without notice. The entire risk arising from its use remains with the recipient.

2 In no event shall Eskom be liable for any direct, consequential, incidental, special, punitive, or any other damages whatsoever, including, but not limited to, damages for loss of business profits, business interruption, or loss of business information. Although the TDP is updated periodically, Eskom makes no representation or warranty as to the accuracy, reliability, validity, or completeness of the information contained in this document. Eskom does, however, endeavour to release plans based on the best available information at its disposal at all times to ensure that stakeholders are kept informed about developments in the Transmission network. Therefore, the information contained in this document represents the most up-to-date information that was available at the time it was released.

3 Foreword by Group Executive Transmission development plan 2015 -2024 001. Foreword The capital constraints being Secondly, the new power stations being developed by Eskom and IPPs must be connected to the network. experienced by Eskom meant that The next few years will see the connection of further large- the Transmission development plan scale renewable generation (wind and solar) to the grid, by Group which will diversify the country's energy mix and reduce developed in early 2013 was no longer its carbon footprint. This will not only create jobs to build realistic and had to be re-phased and operate the stations, but will also attract development to economically depressed parts of the country. Thirdly, and re-prioritised to align with the Executive new loads need to be connected to the network, facilitating available funding.

4 Economic growth and uplifting the lives of all South Africans. This was an intensive and time consuming exercise; hence The benefits of a reliable and secure electricity supply an exemption to this effect was applied for and granted to South Africa must be weighed up against the cost of by NERSA. Projects were then reprioritised to maximise providing it to ensure that electricity consumers who, the benefits to South Africa from remaining funds available ultimately, fund the investments through the tariff receive for network development . It is regrettable but unavoidable fair value for money. that it will now take longer than previously anticipated to I hope that this document will assist in this dialogue, achieve the levels of network redundancy and reliability of and I welcome comments and queries on the content supply as defined in the rules contained in the latest version and format.

5 Of the South African Grid Code. I would also like to take this opportunity to thank the Reliable electricity supply of acceptable quality is South team that has worked, and continues to work, on the Africa's economic lifeblood. It is also essential for the development of these plans. It is a difficult and complex enjoyment of the modern lifestyle that so many of us take process, requiring extensive consultation and multiple for granted, and newly electrified communities are enjoying iterations. for the first time. The Transmission system plays a pivotal role in the provision of electricity by delivering electricity in bulk from the power stations to load centres located throughout South Africa and the region. From there, the distribution networks owned by Eskom and municipalities deliver electricity to end-users.

6 The Transmission system requires not only maintenance to deliver a reliable supply of electricity, but needs to be strengthened to meet Mongezi Ntsokolo changing customer needs. October 2014. The plans are focused, firstly, on ensuring that the network complies with the minimum reliability criteria specified in the Grid Code for both loads and power stations. Executive summary Executive summary Eskom Holdings SOC Limited is a vertically integrated company licensed to generate, transmit, and distribute electricity in South Africa. Eskom Transmission has the responsibility of developing the Transmission network. The publication of the TDP is to inform stakeholders about Eskom 's plans for the development of the Transmission network. This publication fulfils the requirements of the South African Grid Code, which requires the Transmission network service provider (TNSP) to publish plans annually on how the network will develop.

7 Transmission development plan 2015 -2024 003. The funding constraints being experienced by Eskom The projects covered in this document include the Production equipment consists of office furniture and meant that the Transmission development plan developed generation integration projects required to ensure that equipment, computer hardware and software, tools and in early 2013 was no longer affordable and, hence, no the network is adequate to evacuate and dispatch power other equipment used by maintenance staff, and vehicles. longer realistic. The plan had to be revised to fit within the from the new power stations (conventional and renewable). Strategic capital spares are items not available from available budget by reprioritising projects to minimise the connecting to the network to the load centres.

8 Suppliers ex stock, for example, large power transformers, impact on customers and the national economy. Insufficient This document also contains the reliability projects required circuit-breakers, etc., which are kept as strategic stock to time remained to complete the reprioritisation and, to ensure that the levels of reliability and adequacy of the allow units that fail in service and cannot be repaired on site thereafter, publish this document based on the revised plan Transmission network as a whole prescribed by the Grid to be replaced as soon as practicable, thereby minimising within the prescribed deadline. Publishing this document Code are sustained as load demand increases and new the risk that customers may experience a lengthy outage.

9 Based on the original plan would not have served any useful sources of generation are connected to the network. purpose, since it would have been unrealistic in the context The final group of projects are those needed to connect Projects dealing with the refurbishment of ageing of the current funding constraints. An exemption from the new and growing loads and load centres to the network. infrastructure, facilities, production equipment, and strategic requirement to publish this document last year (2013) was The costs given in the document are, in general, high-level capital spares are not explained in greater detail in this applied for from Nersa, which was granted. estimates and can change as global economic conditions document, but a summary of their costs appears in the change; that is, costs are sensitive to fluctuations in foreign chapter dealing with capital expenditure.

10 It is regrettable, but unavoidable, that the funding constraints exchange and commodity prices and to global demand. will result in it taking a longer period of time to bring the Transmission system into compliance with the reliability In general, the impact of reliability projects on the and redundancy requirements prescribed by the Grid customers is to improve availability of supply under Code. The effects on customers and the national economy normal and contingency operating conditions, whereas will be minimised through consultation with customers. load customer and generation integration projects allow A public forum will be held with identified stakeholders generating plant and the load to be optimally connected to disseminate the content of this plan further and get to the network.