Minister Patricia de Lille gazettes Infrastructure Projects of significant importance to country as Strategic Integrated Projects (SIPs)

Additional infrastructure projects of significant importance gazetted as Strategic Integrated Projects in line with Infrastructure Development Act

I have today, 6 December 2022 gazetted additional infrastructure projects of significant importance to the country as Strategic Integrated Projects (SIPs) in line with the Infrastructure Development Act of 2014 as amended (Act no. 23 of 2014).

I announced the imminent gazetting of the projects at the inaugural South African Green Hydrogen Summit (SAHGS) held in Cape Town last week.

Since late 2019, the Department of Public Works and Infrastructure (DPWI) has worked closely with Infrastructure South Africa (ISA), the single point of entry for all infrastructure projects in the country, to monitor and expedite infrastructure delivery, raise additional funding and address the fragmentation in infrastructure delivery.

Ahead of the Green Hydrogen Summit, ISA amassed a pipeline of green hydrogen with a value of over R300billion, but much of this pipeline needs further project preparation support to reach financial close.

The Boegoebaai Green Hydrogen project for example will be complimenting the Boegoebaai Port and Rail Programme which was Gazetted in 2020. This hydrogen project has a potential to create an additional 35 000 once it starts with construction and feasibilities are completed.

The Prieska Power Reserve (PPR) Project in the Northern Cape, as mentioned at the SAGHS, is a catalytic project that will begin producing green hydrogen and ammonia in 2026 by combining high-yielding renewable solar and wind energy. This project alone, for example, is anticipated to create more than 10 500 jobs during both during the construction and the operational phases.

It further aims to promote the full and effective participation of women throughout its development, construction and operational phases. The project aims to achieve this from its ownership structures through to operational structures and beneficiaries.

The inaugural South Africa Green Hydrogen Summit 2022 showcased the country’s offering as a large scale, low cost, world class green hydrogen production hub and total value chain investment destination.

This will enable our pipeline of project to succeed against fierce international competition and secure a strategic first mover advantage.

Gazetting Projects in line with the Infrastructure Development Act

It is against this background that we have now gazetted an additional set of priority and amended some of the current Strategic Integrated Projects (SIPs) to address the challenges experienced in our infrastructure environment.

The process of gazetting infrastructure projects means implementation will be prioritised and we will assist with unblocking any snags whether technical, financial, legal or administrative that have hindered infrastructure delivery for so long.

The additional SIPs have already gone through an extensive quality assurance check, using the Sustainable Infrastructure Delivery Management (SIDS) methodology as adapted from the 5 Case model from the UK Infrastructure Projects’ Authority.

The projects are aligned with the objectives of the National Development Plan, the National Infrastructure Plan, the Economic Reconstruction and Recovery Plan (ERRP), as well as the National 7 key priorities of the 6th Administration.

The objectives of the list of projects published today, is to crowd in more Private Sector investments and development into South Africa, allowing us to achieve the objectives as outlined in the ERRP.

New gazetted projects

The Green Hydrogen National Program (GHNP):

The programme currently consists of 19 projects across various provinces in the country with this number to increase over time.

A total of 9 projects included in the programme have been successfully registered with ISA and are either at an early business case or intermediate business case as per the Five Case Model.

Projects registered with ISA will receive their SIP letters immediately after the Gazette is published which include:

The Prieska Power Reserve in the Northern Cape
The Ubuntu Green Energy Hydrogen Project in Northern Cape
Boegoebaai Green Hydrogen Development in the Northern Cape
Atlanthia Green Hydrogen in the Western Cape
Upilanga Solar and Green H2 Park in Northern Cape
Sasolburg Green Hydrogen 60MW in the Free State
SASOL HySHiFT (Secunda) in Mpumalanga
HIVE Ammonia in the Eastern Cape
The Hydrogen Valley Programme of Anglo-American and their JV Partners includes 9 projects alone along the Limpopo, Gauteng to KwaZulu-Natal Corridor.

Other projects under the Green Hydrogen programme include:

Mainstream Renewable Energy Hydrogen in the Western Cape
AMSA Saldanha Steel Hydrogen project in the Western Cape
Enertrag Postmasburg Project. (Ammonia) in the Northern Cape
HDF Energy Renewable Energy, IPM 1 in Mpumalanga
Enertrag Indigen Project (e-methanol) in the Eastern Cape
Isondo Fuel Cell MEAs Manufacturing in Gauteng
Isondo / NCP Vehicles in Gauteng
Saldanha bay Green hydrogen project
Project Phoenix fuel cell manufacturing in Free State
Cape Stack in the Western Cape

The additional projects which have been gazetted also includes a number of projects under the Just Energy Transition Programme, the Oil and Gas National programme, the Embedded Generation National Program, the Social Housing Programme and others.

The projects have been gazetted in line with the adoption of these projects and programmes by the Presidential Infrastructure Coordinating Council (PICC) in May 2022.

Our goal is to build our economy through quality infrastructure programmes and projects in partnership with our development finance institutions, the multilateral development banks, and more importantly providing an enabling environment for the private sector to invest into South Africa with confidence.

A copy of the gazette can be found here: http://www.gpw.gov.za/Documents/Government/47658%206-12%20PublicWorksInfrastructure.pdf

Source: Government of South Africa