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Regulation News

Nersa to assess new NPA between Eskom, Hillside smelter  

13th May 2021 Creamer Media's Chanel de Bruyn speaks to Engineering News Editor Terence Creamer about a new Negotiated Pricing Agreement (NPA) between Eskom and the Hillside aluminium smelter, what the process will be for Nersa to adjudicate the NPA and if there are likely to be more such NPAs with other... 

Eskom highlights financial limitations as it mulls industrial applications for discounted tariffs 

By: Terence Creamer     12th May 2021 State-owned electricity producer Eskom confirms that it has been approached by customers in various industrial sectors with regard to possible applications for discounted Negotiated Pricing Agreements (NPAs), but says its weak financial position prevents widespread implementation. The first NPA... 

 Eskom highlights financial limitations as it mulls industrial applications for discounted tariffs

Regulator gears up to evaluate new discounted tariff deal for Hillside smelter  

By: Terence Creamer     11th May 2021 The National Energy Regulator of South Africa (Nersa) has invited stakeholder comment on a proposed 10-year negotiated pricing agreement (NPA) between Eskom and the Hillside aluminium smelter, in KwaZulu-Natal, which is owned by South32 and is Eskom’s largest single customer. The proposed NPA is... 

The Hillside aluminium smelter
The Hillside aluminium smelter

‘Right policy changes’ could ignite R150bn in electricity investment by private firms  

By: Terence Creamer     10th May 2021 Business Leadership South Africa, which is made up of some of South Africa's largest domestic and multinational companies, estimates that private firms would move to invest billions in new power generation capacity in the near term should the rules governing embedded or distributed plants be... 

 ‘Right policy changes’ could ignite R150bn in electricity investment by private firms

Nersa urges stakeholders to join it in opposing Eskom’s latest court challenge 

By: Terence Creamer     10th May 2021 The National Energy Regulator of South Africa announced on Monday that it would oppose an Eskom High Court application seeking to review and set aside the Energy Regulator’s latest regulatory clearing account determination. In an unusual step, the regulator also urged other stakeholders to join... 

Nersa urges stakeholders to join it in opposing Eskom’s latest court challenge

Reforms needed to unlock private energy capacity  

7th May 2021 Creamer Media's Chanel de Bruyn speaks to Engineering News Editor Terence Creamer about increasing calls for reforms to the Electricity Regulation Act that will truly unlock new private capacity. 

Reforms needed to unlock private energy capacity
Reforms needed to unlock private energy capacity

Indebted Eskom balks at power deal offered by Turkish generator

By: Bloomberg     6th May 2021 Eskom Holdings, South Africa’s State power utility, doesn’t want to buy electricity from the company that won most of a government emergency-power tender because it’s concerned about the cost and length of the contract, according to two people familiar with the situation. Meeting the terms of... 

Ministerial determination sanctioning private power procurement would spur investment, clear regulatory blockages  

By: Terence Creamer     5th May 2021 The chairperson of the South African Independent Power Producer Association (SAIPPA) believes that the quickest and cheapest way to reduce, or eliminate, South Africa’s growth-sapping risk of load-shedding would be for Mineral Resources and Energy Minister Gwede Mantashe to issue a Ministerial... 

Ministerial determination sanctioning private power procurement would spur investment, clear regulatory blockages

Raising distributed generator licence-exemption cap to 10 MW ‘does not go far enough’ 

By: Terence Creamer     3rd May 2021 Business Leadership South Africa (BLSA) says a proposed amendment to Schedule 2 of the Electricity Regulation Act, which would raise the licence exemption threshold for private distributed-generation plants from 1 MW to 10 MW, “does not go far enough”. Mineral Resources and Energy Minister Gwede... 

Raising distributed generator licence-exemption cap to 10 MW ‘does not go far enough’

Climate commission to build on existing body of work as it finalises South Africa’s ‘just transition’ framework 

By: Terence Creamer     30th April 2021 The Presidential Climate Change Coordinating Commission (PCCCC), which held its second meeting on Friday, intends building on the work already done by the National Planning Commission (NPC) as it seeks to finalise a national ‘just transition framework’ for South Africa’s shift to a climate... 

Commission deputy chairperson Valli Moosa
Photo by Creamer Media
Commission deputy chairperson Valli Moosa

eThekwini aiming to conclude first IPP contract in 2022 as city mulls hydrogen role 

By: Terence Creamer     29th April 2021 The eThekwini metropolitan municipality, in KwaZulu-Natal, is aiming to sign its first independent power producer (IPP) contract next year following the publication of the eThekwini Integrated Resource Plan (EIRP) in 2020, which it described as the first IRP for a local government in South... 

eThekwini aiming to conclude first IPP contract in 2022 as city mulls hydrogen role

Proposed regulation lifting ‘embedded generation’ licence-exemption cap to 10 MW released for comment 

By: Terence Creamer     23rd April 2021 Mineral Resources and Energy Minister Gwede Mantashe has released, for public comment, an amendment to the Electricity Regulation Act, proposing an increase in the licensing-exemption threshold for embedded power generation plants from 1 MW to 10 MW. The Gazette notice, which was published on... 

Mineral Resources and Energy Minister Gwede Mantashe
Mineral Resources and Energy Minister Gwede Mantashe

WHO warns Africa not to let its guard down amid pandemic

By: Sane Dhlamini     22nd April 2021 The World Health Organisation (WHO) Regional Director for Africa Dr Matshidiso Moeti has encouraged African countries to sustain Covid-19 prevention measures and urged countries not to let their guards down as the world races to vaccinate their populations. Moeti said on Thursday that despite the... 

Double Troika Summit orders ‘immediate technical deployment’ to Mozambique 

By: Sane Dhlamini     9th April 2021 The Extraordinary Double Troika Summit of heads of States and government of the Southern African Development Community has directed an immediate SADC Organ on Politics Defence and Security technical deployment to Mozambique following insurgent attacks in the northern town of Palma. Recent reports... 

Double Troika Summit orders ‘immediate technical deployment’ to Mozambique

Cylinder market expected to grow

9th April 2021 The global liquified petroleum gas (LPG) cylinder manufacturing market is projected to reach a market size of about $4.7-billion by 2026, with an average growth rate of about 3.6% during the forecast period, according to a report issued by market intelligence provider Transparency Market Research... 

EXPANDING GAS
The growth in the global LPG cylinder manufacturing market is driven by increased disposable income, urbanisation and demand for convenience
EXPANDING GAS The growth in the global LPG cylinder manufacturing market is driven by increased disposable income, urbanisation and demand for convenience

City Power appoints former Eskom exec as new CEO

By: Simone Liedtke     1st April 2021 City Power has appointed Mongezi Ntsokolo as its new CEO with effect from April 1. Ntsokolo has almost 30 years’ experience in the electricity industry, having served in different managerial roles at State power utility Eskom, including as group executive for generation, transmission,... 

Eskom board appoints Advocate Semenya to conduct De Ruyter probe

By: Creamer Media Reporter      1st April 2021 The board at State-owned electricity utility Eskom confirmed on Thursday that Advocate Ishmael Semenya SC had accepted its request to conduct an independent inquiry into claims of racism and abuse of power levelled against CEO André de Ruyter by suspended chief procurement officer Solly... 

 André de Ruyter
Photo by Creamer Media's Donna Slater
André de Ruyter

New independent utility emerges to pursue private-to-private power niche  

By: Terence Creamer     30th March 2021 A new independent power utility has been established in South Africa to sell electricity directly to private and municipal customers rather than to Eskom. Branded Earth & Wire, the company aims to build a large-scale portfolio of renewable-energy assets and enter into power purchase agreements... 

One of Earth & Wire's existing facilities
Photo by Earth & Wire
One of Earth & Wire's existing facilities

Big business to approach government with solutions for accelerating infrastructure spending  

By: Terence Creamer     26th March 2021 Big business in South Africa plans to approach government with a series of solutions aimed at narrowing the ever-widening gap between the country’s fixed-investment spending targets and the dismal reality of declining spending on both social and economic infrastructure. Through the National... 

Big business to approach government with solutions for accelerating infrastructure spending

South Africa’s updated climate pledge to be released for comment after Cabinet approves NDC draft 

By: Terence Creamer     25th March 2021 South Africa’s Cabinet has approved the country’s updated draft Nationally Determined Contribution in response to climate change, which will be released for public consultation next week. The updated NDC outlines South Africa’s target for limiting greenhouse gas emissions as required in line with... 

South Africa’s updated climate pledge to be released for comment after Cabinet approves NDC draft

Fossil fuels found accountable for millions of deaths

By: Halima Frost     19th March 2021 Fossil fuels are, through a marked contribution to air pollution, accountable for 8.7-million deaths globally in 2018, which adds to the mounting evidence that air pollution from ongoing dependence on fossil fuels is detrimental to global health, says University College London (UCL) associate... 

POISON
Fossil fuels are responsible for millions of deaths globally every year
POISON Fossil fuels are responsible for millions of deaths globally every year

Western Cape names candidate municipalities to be primed for direct IPP procurement 

By: Terence Creamer     17th March 2021 Six Western Cape municipalities, as well as the City of Cape Town, have been named by Western Cape Finance and Economic Opportunities Minister David Maynier as candidates to participate in the first phase of the province’s Municipal Energy Resilience (MER) project. The MER initiative, which was... 

Western Cape names candidate municipalities to be primed for direct IPP procurement

Nersa’s electricity division seeks stakeholder input on strategic plan 

By: Creamer Media Reporter      17th March 2021 The National Energy Regulator of South Africa (Nersa) will conduct a virtual public consultation workshop, from March 24 to 26, to solicit stakeholder input into the strategic plan of its electricity division. The workshop will seek specific input on the changes facing the electricity supply... 

Nersa’s electricity division seeks stakeholder input on strategic plan

S&P sees Eskom debt solution as key to unlocking restructuring  

By: Terence Creamer     9th March 2021 Ratings agency S&P Global Ratings sees finding a solution to Eskom’s unsustainable debt position as potentially key to meeting the timelines proposed for the broader restructuring of the State-owned utility into three units of generation, transmission and distribution – an unbundling that is also... 

S&P sees Eskom debt solution as key to unlocking restructuring

Eskom board to initiate probe into racism allegations against De Ruyter 

By: Creamer Media Reporter      9th March 2021 The Eskom board has resolved to initiate an investigation into an allegation of racism made against CEO André de Ruyter, indicating in a statement that an independent senior counsel would be appointed to conduct the probe. The counsel, the board said, would be empowered to interview any person... 

Eskom CEO André de Ruyter
Photo by Creamer Media's Donna Slater
Eskom CEO André de Ruyter

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... 

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

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... 

The Secunda complex, in Mpumalanga
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. 

SHAKING UP THE INDUSTRY 
Energy storage technologies are viewed as a potential game-changer for widespread adoption of renewable energy generation throughout Africa
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... 

President Cyril Ramaphosa
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... 

South Deep
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
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