The South African National Roads Agency Limited (SANRAL) awarded 320 tenders to the value of R51 billion in the 2022/23 financial year, significantly up from the R22 billion of tenders awarded in the preceding year.

In addition, a further 12 contracts of above R750 million each were awarded after the SANRAL Board reviewed the submissions as part of its oversight role. The Board notes and reviews any tender with a value of R750 million and above. The total value of these is R28 billion, of which the last four, awarded on 31 March, are split between KwaZulu-Natal and the Eastern Cape.

In line with SANRAL’s commitment to economic transformation, at least 30% of the contract value of each tender will be subcontracted to small, medium-sized and micro enterprises (SMMEs). This effectively ensures that at least R18 billion will go to SMMEs located in the various communities in which the projects will be implemented.

Through these awards the Roads Agency continues on a positive trajectory to drive economic recovery, which is part of the broader national effort by government to invest in economic infrastructure.

Such significant awards enable SANRAL to respond to the triple challenge of poverty, unemployment and inequality across South Africa, as large-scale job creation, skills development and knowledge transfer are key elements of economic development.

Further, SANRAL remains driven to break down monopolies and ensure meaningful transformation that changes people’s lives for the better.

SANRAL Chairperson Themba Mhambi

“Our transformation efforts go beyond facilitating access to black-owned businesses. We want them to participate, grow and prosper,” said SANRAL Chairperson Themba Mhambi.

To this end, SANRAL has also embarked on an extensive training and capacity-building campaign targeting more than 40,000 SMMEs over a three-year period, to teach them how to submit compliant, competitive and profitable tenders.