The key to any investment would be consistent demand throughout at least 10 to 20 years, considering the high capital cost of investing in manufacturing equipment like Power Transformers, which would typically be on the critical path of the building programme of energy projects.
Factors other than consistent demand and high capex costs need to be considered, and the topics of discussion are: one payment at the time of handover, skills development , demanding inspection protocols compared to imports, availability of skills, the general South African investment environment, competitiveness of local manufacturers vs imports.
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