It is reported that Transnet Pipelines expects work on its ZAR 11.2 billion multi product fuel pipeline from Durban to Gauteng to start in the first quarter of next year as this will be crucial in order for it to be completed by the third quarter of 2010.
National Energy Regulator of SA awarded a license to construct the 24 inch pipeline to Transnet Pipelines, which is a subsidiary of Transnet in September. At the same time the regulator refused the same right to iPayipi Consortium, a private entity that had also applied to build a Durban to Gauteng fuel transport network.
The license allows Transnet Pipelines to construct petroleum pipelines from Durban to Jameson Park, in Gauteng, from Jameson Park to Alrode and Langlaagte, and from Kendal to Waltloo. It also stipulates the construction of two five tank storage facilities, one in Durban and one in Jameson Park, each with a capacity of 160 million liters.
The fuel pipeline operator is now awaiting only final license conditions from the National Energy Regulator of SA and a record of decision signaling environmental sanction for the proposed network.
Mr Vuyo Kahla the group executive in the office of the chief executive said that "We expect to receive the conditions for the license this month." He added that much of the preparatory work had already been done. The project management tender for the project had been awarded to Arup and the utility should soon be in a position to place the other orders.
