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Regulation News

Energy Regulator approves 40 MW solar licence for Gold Fields' South Deep 

By: Creamer Media Reporter      25th February 2021 The National Energy Regulator of South Africa (Nersa) announced on Thursday that the Energy Regulator, at its meeting held on February 25, approved the issuance of a generation licence for a 40 MW solar photovoltaic (PV) plant to be developed at the South Deep gold mine, in Gauteng. The licence... 

Sasol upscales renewables roll-out ambition to 900 MW, starts plotting big green-hydrogen role 

By: Terence Creamer     22nd February 2021 JSE-listed Sasol announced on Monday that it would pursue a 900 MW renewable-energy roll-out at its Secunda and Sasolburg complexes by 2030, raising its initial deployment target of 600 MW by 50%. President and CEO Fleetwood Grobler said that the upscaled plan would be pursued in partnership with... 

Sasol upscales renewables roll-out ambition to 900 MW, starts plotting big green-hydrogen role
The Secunda complex, in Mpumalanga

Storage high on the agenda for emerging economies

19th February 2021 Energy storage coupled with renewable energy ensures less intermittent supply of power, thereby solving balancing and system reliability issues, the Africa Energy Indaba stated in a January press release. 

Storage high on the agenda for emerging economies
SHAKING UP THE INDUSTRY Energy storage technologies are viewed as a potential game-changer for widespread adoption of renewable energy generation throughout Africa

DMRE says emergency-power deviation notice will not trigger legal challenge 

18th February 2021 On February 12, Trade, Industry and Competition Minister Ebrahim Patel published a Gazette notice granting the Department of Mineral Resources and Energy (DMRE) permission to deviate from the relevant Broad-Based Black Economic Empowerment code of good practice for the Risk Mitigation Independent... 

DMRE says emergency-power deviation notice will not trigger legal challenge

EIUG says tariff hike will curtail economic recovery efforts  

By: Marleny Arnoldi     17th February 2021 The Energy Intensive Users Group of Southern Africa (EIUG) has noted "with disappointment" the Eskom price increase announced on February 16. The National Energy Regulator of South Africa (Nersa) has agreed to the State-owned power utility increasing its tariff by 15.6% for the 2021/22... 

EIUG says tariff hike will curtail economic recovery efforts

R10bn Eskom-Nersa settlement opens way for 15.63% hike on April 1  

By: Terence Creamer     16th February 2021 The National Energy Regulator of South Africa (Nersa) and Eskom have reached an agreement to add R10-billion to Eskom’s allowable revenue in 2021/22, to be recovered through the tariff, pending the outcome of an appeal of a 2020 High Court ruling directing the regulator to immediately add back... 

R10bn Eskom-Nersa settlement opens way for 15.63% hike on April 1

Ramaphosa’s SoNA holds bold promises, but lacks finer details, says BLSA

By: Donna Slater     15th February 2021 In his February 13 State of the Nation Address (SoNA), President Cyril Ramaphosa highlighted factors that will serve to lift the economy, tackle Covid-19 and boost ailing electricity infrastructure, says Business Leadership South Africa (BLSA) CEO Busi Mavuso. Of particular interest, she says,... 

Electricity regulations to be amended to raise licence-exemption cap for distributed generation projects 

By: Terence Creamer     11th February 2021 President Cyril Ramaphosa announced on Thursday that Schedule 2 of the Electricity Regulation Act would be amended within the next three months to increase “the licensing threshold for embedded generation”. The current licence-exemption cap is set at 1 MW, with projects above that size required... 

Electricity regulations to be amended to raise licence-exemption cap for distributed generation projects
President Cyril Ramaphosa

Nersa subcommittee recommends approval of 40 MW Gold Fields solar licence 

By: Terence Creamer     8th February 2021 The National Energy Regulator of South Africa’s (Nersa’s) electricity subcommittee has recommended that the Energy Regulator approves Gold Fields’ high-profile licence application for a 40 MW solar photovoltaic (PV) project to be developed at its South Deep mine, in Gauteng. Nersa has confirmed... 

Nersa subcommittee recommends approval of 40 MW Gold Fields solar licence
South Deep

Nersa committee holds back approval on Eskom application to buy short-term power 

By: Terence Creamer     5th February 2021 The National Energy Regulator of South Africa’s (Nersa’s) electricity subcommittee decided, on February 5, not to approve Eskom’s application for the emergency procurement of electricity from eight private generators under its Short-Term Power Purchase Programme (STPPP). In March 2020, the... 

Nersa committee holds back approval on Eskom application to buy short-term power

Eskom supports lifting licensing exemption threshold for electricity generation to 50MW  

5th February 2021 Eskom CEO Andre de Ruyter has expressed support for a lifting of the licensing threshold on distributed generators from 1 MW to 50 MW. Engineering News editor Terence Creamer unpacks the significance of this statement.   

Eskom supports lifting licensing exemption threshold for electricity generation to 50MW
Eskom supports lifting licensing exemption threshold for electricity generation to 50MW

EUIG wants wheeling reform to accompany rise in licence-exemption cap to 50 MW  

By: Terence Creamer     4th February 2021 The Energy Intensive Users Group of Southern Africa (EIUG) has added its voice to growing calls to increase South Africa’s licence exemption threshold from 1 MW to 50 MW, but says the change should be accompanied by an updating of the current framework for wheeling power across the network. In a... 

EUIG wants wheeling reform to accompany rise in licence-exemption cap to 50 MW

Vaccine nationalism may create conditions for increased political turmoil – Zane Dangor

By: Sane Dhlamini     4th February 2021 Special advisor to Minister of International Relations and Cooperation Zane Dangor stated on Thursday that vaccine nationalism is the opposite of the solidarity approach that was spoken of at the outset of the coronavirus pandemic. Dangor was addressing an online discussion on ‘Trade, Patent Law... 

Vaccine nationalism may create conditions for increased political turmoil – Zane Dangor

De Ruyter backs call for lifting of licensing cap on distributed generators to 50 MW  

By: Terence Creamer     2nd February 2021 Eskom CEO Andre de Ruyter says the State-owned utility is fully supportive of moves by large customers to develop distributed generation plants to power their operations, as well as growing calls to lift the licensing threshold from 1 MW to 50 MW so as to accelerate these investments. South... 

De Ruyter backs call for lifting of licensing cap on distributed generators to 50 MW
Photo by Creamer Media's Donna Slater
Eskom CEO Andre de Ruyter

Embedded generation dynamics shifting from ‘buyer’s to seller’s market’  

By: Terence Creamer     2nd February 2021 Market dynamics for embedded generation projects in South Africa have shifted materially over the past 12 months as an increasing number of mines and power-heavy industrial firms moved to install renewable-energy facilities at a time when government is also starting to resume utility scale... 

Embedded generation dynamics shifting from ‘buyer’s to seller’s market’

Eskom caps 2021 extra-revenue claim at R23bn, but tells court anything less will be ‘disastrous’ 

By: Terence Creamer     29th January 2021 State-owned power utility Eskom indicated during a court hearing on Friday that it would not seek to recover more than R23-billion in additional revenue through the tariff during its 2021/22 financial year, implying that any possible hike implemented on April 1 would be capped at about 15.5%.... 

Eskom caps 2021 extra-revenue claim at R23bn, but tells court anything less will be ‘disastrous’

Eskom seeks to recover R23bn through courts amid tariff hike  

29th January 2021 The precise size of the upcoming tariff hike is not yet known as Eskom seeks to recover R23-billion more through the courts. Engineering News Editor Terence Creamer unpacks this complicated issue. 

Eskom seeks to recover R23bn through courts amid tariff hike
Eskom seeks to recover R23bn through courts, amid tariff hike

Power hike could surge beyond the 10% hinted to by Nersa as Eskom hunts R23bn more in courts  

By: Terence Creamer     28th January 2021 South Africans should brace for power hikes of about 10% this year after the National Energy Regulator of South Africa (Nersa) finalised a court-ordered re-adjudication of Eskom’s previous applications. However, the increase could be materially higher should Eskom prevail in its legal endeavour... 

Power hike could surge beyond the 10% hinted to by Nersa as Eskom hunts R23bn more in courts
Nhlanhla Gumede

Eskom approaches court to have R23bn equity injection added back this year 

By: Terence Creamer     26th January 2021 State-owned electricity utility Eskom will make the case later this month for the immediate execution of a High Court order stipulating that an amount of R23-billion stripped unlawfully from its allowable revenue in 2019 by the National Energy Regulator of South Africa be added back during its... 

Eskom approaches court to have R23bn equity injection added back this year

Evaluation of emergency-power bids ‘by February’, with renewables bidding to open in ‘first quarter’ 

By: Terence Creamer     25th January 2021 The evaluation of the 28 bids received under South Africa’s Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP) is anticipated to be concluded by February 2021, the IPP Office has confirmed with Engineering News. The preferred bidders, it adds, will be announced as soon as... 

Evaluation of emergency-power bids ‘by February’, with renewables bidding to open in ‘first quarter’

As South Africa veers from NDP jobs and poverty goals ‘course corrections’ proposed  

By: Terence Creamer     21st January 2021 With the National Development Plan’s (NDP’s) goals of achieving full employment and eliminating poverty by 2030 already out of reach ahead of the onset of the deadly Covid-19 pandemic, which has since obliterated the plan’s objectives entirely, the outgoing National Planning Commission (NPC) has... 

As South Africa veers from NDP jobs and poverty goals ‘course corrections’ proposed

Raising distributed-generation licensing threshold to 50 MW would unlock at least 5 000 MW in five years, survey shows  

By: Terence Creamer     20th January 2021 Lifting the licensing threshold for distributed-generation projects to 50 MW or higher could unlock an estimated 5 000 MW of additional capacity in five years and go a long way to rapidly easing South Africa’s debilitating power supply constraints. This is the conclusion of a Meridian Economics... 

Raising distributed-generation licensing threshold to 50 MW would unlock at least 5 000 MW in five years, survey shows

Frameworks put in place for incentivised tariffs for energy-intensive users 

15th January 2021 Creamer Media's Chanel de Bruyn speaks to Engineering News Editor Terence Creamer about frameworks that have been put in place to allow companies that use electricity intensively to apply for an incentivised tariff. 

Frameworks put in place for incentivised tariffs for energy-intensive users
Frameworks put in place for incentivised tariffs for energy-intensive users

First application made for power-tariff relief under new DMRE frameworks 

By: Terence Creamer     11th January 2021 The first application for tariff relief provided for under the Negotiated Pricing Agreement (NPA) frameworks published late last year by the Department of Mineral Resources and Energy (DMRE) has been submitted to the National Energy Regulator of South Africa (Nersa) for authorisation. Nersa tells... 

First application made for power-tariff relief under new DMRE frameworks

World Bank warns of extreme poverty setback as South Africa is buffeted by Covid

By: Terence Creamer     5th January 2021 The World Bank expects the South African economy to recover by 3.3% in 2021 and return to a “near potential pace” of 1.7% in 2022 after contracting by an estimated 7.8% during Covid-afflicted 2020. However, it warns in its flagship Global Economic Prospects report, published on Tuesday, that the... 

World Bank warns of extreme poverty setback as South Africa is buffeted by Covid

Eskom outlines streamlined restructuring model to deliver independent grid company by end-2021  

By: Terence Creamer     14th December 2020 Eskom CEO Andre de Ruyter outlined a streamlined approach on Monday to the vertical separation of the State-owned utility into three businesses of generation, distribution and transmission, which he said could accelerate the process of establishing an Eskom-owned independent transmission system... 

Eskom outlines streamlined restructuring model to deliver independent grid company by end-2021
Photo by Creamer Media's Donna Slater
Eskom CEO Andre de Ruyter

South Africa’s renewables plan presents ‘remarkable’ industrialisation opportunity 

By: Terence Creamer     11th December 2020 The roll-out of renewable energy at the scale envisaged in South Africa’s official electricity plan to 2030 presents a “remarkable” industrialisation opportunity, the leader of the South African Renewable Energy Masterplan (SAREM) project team, Francis Jackson, argues. Jackson, who is also a... 

South Africa’s renewables plan presents ‘remarkable’ industrialisation opportunity
Completed tower sections manufactured by DCD Wind Towers, which subsequently closed down as a result of a protracted Eskom-induced procurement hiatus

EIUG urges members to apply for relief under negotiated pricing agreement framework 

By: Terence Creamer     8th December 2020 The Energy Intensive Users Group of Southern Africa (EIUG) has welcomed the ‘Short-Term and Interim Long-Term Negotiated Pricing Agreement (NPA) frameworks’ approved by the Department of Mineral Resources and Energy (DMRE) and is encouraging its members to apply for these opportunities where... 

EIUG urges members to apply for relief under negotiated pricing agreement framework

Seifsa calls for moratorium on power hikes as Eskom makes case for cost-reflectivity 

By: Terence Creamer     7th December 2020 Steel and Engineering Industries Federation of Southern Africa (Seifsa) used the platform created by ongoing National Energy Regulator of South Africa (Nersa) hearings to call for a moratorium on additional electricity tariff hikes, arguing that further increases would undermine the country’s... 

Seifsa calls for moratorium on power hikes as Eskom makes case for cost-reflectivity

Six steps proposed for unlocking larger-scale self-gen projects, amid ongoing government resistance  

By: Terence Creamer     26th November 2020 Six steps could be taken immediately by the South African government and the energy regulator to unlock more self-generation investment by residential, commercial, industrial, mining and agricultural consumers so as to minimise power shortages and reduce the threat of load-shedding, a newly... 

Six steps proposed for unlocking larger-scale self-gen projects, amid ongoing government resistance

Nersa sets Feb 5 deadline for written comment on proposed nuclear determination 

By: Terence Creamer     23rd November 2020 The National Energy Regulator of South Africa (Nersa) has given stakeholders until February 5 to comment on a Section 34 determination received from Minerals Resources and Energy Minister Gwede Mantashe for the procurement of new nuclear capacity post-2030. The draft determination delivered to... 

Nersa sets Feb 5 deadline for written comment on proposed nuclear determination

More than 60 power firms signal intention to bid into ‘emergency’ scheme – IPP Office 

By: Terence Creamer     17th November 2020 South Africa’s Independent Power Producer (IPP) Office reported on Tuesday that more than 60 respondents had signalled their intention, by the October 31 deadline for doing so, to participate in the Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP), through which... 

More than 60 power firms signal intention to bid into ‘emergency’ scheme – IPP Office
Photo by Creamer Media's Donna Slater
IPP Office CEO Tshifhiwa Bernard Magoro

Municipalities have integrated 282 MW of embedded power and see benefits in embracing transition 

By: Terence Creamer     16th November 2020 A total of 29 South African municipalities have already approved tariff frameworks for small-scale embedded generation (SSEG), with 282 MW of mostly rooftop solar capacity having be formally integrated into municipal networks, the South African Local Government Association (Salga) reports. The... 

Municipalities have integrated 282 MW of embedded power and see benefits in embracing transition

Makwetu hailed as gentle, unwavering giant in the fight against corruption

By: Sane Dhlamini     12th November 2020 Business Unity South Africa (Busa) president Sipho Pityana has hailed outgoing Auditor-General Kimi Makwetu as a gentle and yet unwavering giant in the fight against corruption and maladministration, following the news of his death. Makwetu died on Wednesday, at a hospital in Johannesburg,... 

Makwetu hailed as gentle, unwavering giant in the fight against corruption
Kimi Makwetu

South Africa aims to nail down R664bn in investment pledges at Nov gathering amid Covid-19 ‘shock’ 

By: Terence Creamer     9th November 2020 The third yearly South Africa Investment Conference (SAIC), which will take place on November 17 and 18, will focus primarily on ensuring the investment pledges of R664-billion made in 2018 and 2019 are not derailed by the Covid-19 pandemic. Government also intends using the platform to... 

South Africa aims to nail down R664bn in investment pledges at Nov gathering amid Covid-19 ‘shock’
Trade, Industry and Competition Minister Ebrahim Patel

Eskom's losses, tariffs back in the spotlight 

6th November 2020 Creamer Media's Chanel de Bruyn speaks to Creamer Media Editor Terence Creamer about power utility Eskom's unsustainable debt position and financial loss and the tariff increases it is seeking.  

Eskom's losses, tariffs back in the spotlight
Eskom's losses, tariffs back in the spotlight

Eskom says it needs R23bn more from tariffs in 2021 to remain a going concern  

By: Terence Creamer     5th November 2020 State-owned electricity utility Eskom argued on Thursday that it required additional revenue of R23-billion for the upcoming financial year to remain a going concern and told the National Energy Regulator of South Africa (Nersa) that further tariff increases, beyond the 5.22% already approved for... 

Eskom says it needs R23bn more from tariffs in 2021 to remain a going concern
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