SANRAL to release US $2.7bn tenders for roads construction

08-08-2019
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Construction Review Online
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The South African National Roads Agency Limited (SANRAL) has announced that it will issue tenders worth over US $2.7bn in the next two to three years for construction and refurbishment of major roads in the country.

The agency’s engineering executive Mr. Louw Kannemeyer said that the National Treasury has set aside approximately US $ 1.5bn per year dedicated to the maintenance and improvement of SANRAL’s 19,262km non-toll network. The funds will be distributed to a total of 940 projects, of which 325 are already under construction.

Issuance of the Tenders As from August this year, the agency has made stated that it shall release more than 50 small tenders for routine road and periodic maintenance throughout its road network in all the nine provinces, in an orderly manner so as not to flood the market.

Tenders worth US $565m for construction works on the N3 corridor will go out during this financial year starting in November, once the regulatory approvals have been received and land acquisition finalized.

In addition, during the three year medium-term period, tenders for 90 new major capital works projects that cost more than US $34m each will be released as well.

The beneficiaries Kannemeyer said that they are confident that the US $ 2.7bn tenders that are in the pipeline will benefit the entire construction industry and contribute to the progression of new enterprises who have been left out of major contracts in the past. These enterprises include those owned by women, the youth and the disabled plus construction companies possessed by the “black” people. A large share of contracts will be allocated to them.

The projects will also deliver economic and social infrastructure that has the potential to unlock economic growth, stimulate local economies and create jobs to the communities situated along the sites.