Newcastle’s R22 Million Investment Set to Solve Long-Standing Power Challenges

Newcastle’s R22 Million Investment Set to Solve Long-Standing Power Challenges

Development aimed at enhancing service delivery within Newcastle took centre stage on Friday, 8 November 2024, as the Newcastle Municipality launched the construction of a brand-new switching station earmarked at increasing capacity on existing infrastructure while reducing power outages in parts of Newcastle.

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On a vacant plot along Scott Street, near Boundary Road in Lennoxton, municipal officials—including Newcastle Mayor Councillor Xolani Dube, Amajuba District Deputy Mayor Thembelihle Mthembu, and Ward 3 Councillor Connie Hariram—assembled to commemorate the launch of the 11kV Capricona Switching Station project in Ward 3.

In her address, Cllr Hariram explained that the establishment of the new switching station would not only enhance service delivery but would also resolve several ongoing challenges. This new project comes in response to long-standing problems faced by the older switching station, located within the Capricona property.

“The Newcastle Municipality had a number of problems when it came to getting access to the older substation, especially after hours. This meant that when there was a problem at the substation, residents would be left without electricity for hours until municipal teams could get to the problem,” Cllr Hariram explained. She further noted that, after years of dealing with these problems, the Municipality took the necessary steps to put out a tender for the construction of the new substation.

It is important to note that the original Capricona Switching Station was built in 1976, next to the Capricona Hotel.

While access to the original substation had always been an issue, it was clear that the station also required upgrades due to limited space and outdated switchgear. Due to this, Newcastle Municipality’s Spokesperson, Mthandeni Myende, explained, “The Municipal Manager instructed the Electrical Section to acquire funds to re-establish this switching station on municipally owned land.”

In response to these challenges, the Municipal Department took the necessary steps to follow the proper protocols to secure both funding and approval from the Department of Mineral Resources and Energy (DMRE) to build the new switching station. Due to the increasing population and constant development in the area, the need for a new switching station could not be ignored. The DMRE approved the funding through their Integrated National Electrification Program.

A budget of R7,700,000.00 has been allocated to this project for the current financial year, and the estimated total cost of establishing the Capricona Switching Station is R22,000,000. Myende further explained that the communities of Wards 3, 28, and 34 will benefit from the establishment of this station, as it will increase capacity in the existing infrastructure and help reduce the frequent outages that affect these communities.

The objectives of the project include:

  • To provide additional electricity capacity to residents in and around Ward 3.
  • To improve accessibility to the Electrical Department in order to reduce outage response times.
  • To create temporary employment opportunities during construction.
  • To provide opportunities for the development of local emerging contractors.

According to Municipal Speaker Cllr Thengi Zulu, the tender process was followed rigorously to ensure transparency and to avoid any potential issues. This process led to the selection of local contractor Sanjax Building Projects, which was chosen to carry out the necessary construction work. Cllr Zulu pointed out that this decision was made to support local businesses while also addressing the pressing service delivery issues within the Municipality.

The project is expected to be completed by October 2026. The scope of the work includes not only the construction of the switching station but also:

  • The procurement of 11kV switching panels.
  • The construction of fencing around the site.
  • Site cleaning and preparation for the installation of infrastructure.

As the project progresses, Newcastle Mayor Cllr Dube urged all stakeholders involved to remain committed to ensuring its completion within the allocated timeframe. He also called on residents to take an active role in ensuring that there are no disruptions to the work, as any delays would hinder efforts to resolve ongoing electrical issues in Wards 3, 28, and 34.

“Not only will this project be a positive development for those living in the area, but it will also create employment opportunities for the duration of the project, resulting in multiple benefits for the construction of the switching station,” Cllr Dube stated.

As the Newcastle Municipality prepares to invest R22 million to address electricity infrastructure in the mentioned wards, the Municipality is eager to hear the thoughts and opinions of the community. Residents are encouraged to share their views in the comment section below. 

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