Trans-Caledon Tunnel Authority (TCTA)

The mission of the Trans-Caledon Tunnel Authority (TCTA) is to plan, finance and implement sustainable and accessible water resource infrastructure.

The TCTA was originally established as a special purpose vehicle to fulfil South Africa’s treaty obligations in respect of the Lesotho Highlands Water Project. Its establishment was in line with government policy and practice to seek off-balance-sheet funding options for infrastructure projects, which can recover their costs through the end-user tariffs. The purpose of constructing works off-budget is twofold: to ensure that the cost of the infrastructure is paid for by the benefitting end consumer and not by the entire tax base; and to reduce government borrowing requirements.