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Regulation News

Eskom and Nersa resume normal hostilities as RCA hearings begin 

By: Terence Creamer     3rd February 2020 Outside of the courts, Eskom and the National Energy Regulator of South Africa (Nersa) have resumed normal hostilities on their more customary playing field of public hearings, with initial oral representations heard on Monday into the State-owned utility’s latest Regulatory Clearing Account... 

Mining companies can generate own power without licenses – Mantashe 

By: News24Wire      3rd February 2020 Minister of Mineral Resources and Energy Gwede Mantashe told delegates at the Mining Indaba in Cape Town on Monday that government had conceded that it must allow mining companies to produce energy for their own use.  is remarks echoed sentiments from an address he made on Sunday evening about... 

 Mining companies can generate own power without licenses – Mantashe
Mineral Resources & Energy Minister Gwede Mantashe

Kendal given another two months to comply with air-pollution standards

By: Terence Creamer     31st January 2020 State-owned power utility Eskom reported on Friday that it had received a letter from Environment, Forestry and Fisheries Minister Barbara Creecy granting its emissions-breaching Kendal power station another two months to comply with the country’s minimum emission standards (MES). Kendal has been... 

Kendal given another two months to comply with air-pollution standards

Eskom’s transition to ‘philosophy maintenance’ will increase load-shedding risk for at least 18 months  

By: Terence Creamer     31st January 2020 The board at State-owned electricity utility Eskom has sanctioned a proposal to migrate the group’s unreliable coal fleet to a ‘philosophy maintenance’ model, whereby generation units are serviced in strict adherence with prescribed maintenance schedules in a bid to break the cycle of unplanned... 

Eskom’s transition to ‘philosophy maintenance’ will increase load-shedding risk for at least 18 months
Photo by Creamer Media's Donna Slater
Eskom CEO Andre de Ruyter

Wind and solar bodies urge Minister to urgently publish determinations needed to kick-start power procurement 

By: Terence Creamer     28th January 2020 The heads of South Africa’s wind and solar industry bodies urged Mineral Resources and Energy Minister Gwede Mantashe on Tuesday to publish, without delay, the Ministerial determinations required to unlock the procurement of much-needed electricity capacity in line with the Integrated Resource... 

Wind and solar bodies urge Minister to urgently publish determinations needed to kick-start power procurement

South Africa improves in corruption index but still has serious problems – report  

By: Sane Dhlamini     23rd January 2020 Despite its score advancing a notch in the Corruption Perceptions Index, from 43 to 44, South Africa still ranks among countries that are deemed to have a serious corruption problem. Corruption Watch executive director David Lewis said this year’s report highlighted the importance of the... 

South Africa improves in corruption index but still has serious problems – report
Corruption Watch executive director David Lewis

‘Significantly enhanced' shareholder scrutiny to be expected, Eskom’s De Ruyter says

By: Terence Creamer     22nd January 2020 Eskom’s new CEO is not overly troubled by the prospect of shareholder intrusion in the State-owned electricity utility, saying that a high level of shareholder scrutiny is to be expected given the current crisis at the organisation. The only way to ensure that the shareholder does not assert its... 

‘Significantly enhanced' shareholder scrutiny to be expected, Eskom’s De Ruyter says
Eskom CEO Andre de Ruyter

South Africa consolidates FDI recovery with inflows of $5bn in 2019 

By: Terence Creamer     20th January 2020 A new United Nations Conference on Trade and Development (Unctad) report estimates that foreign direct Investment (FDI) flows to Africa rose by 3% to $49-billion ($47-billion) in 2019, with South Africa consolidating on the recovery it recorded in 2018, when inflows more than doubled from... 

South Africa consolidates FDI recovery with inflows of $5bn in 2019
Photo by Creamer Media's Donna Slater
President Cyril Ramaphosa has set a target of attracting R1.2-trillion in investment by 2023

Despite IRP gaps, the outlook for solar in SA has strengthened

By: Terence Creamer     17th January 2020 One of the first questions posed to Mineral Resources and Energy Minister Gwede Mantashe after Cabinet finally approved the 2019 edition of the Integrated Resource Plan (IRP 2019) in October related to the ongoing capacity addition gaps for solar photovoltaic (PV). While the IRP 2019 envisages... 

Despite IRP gaps, the outlook for solar in SA has strengthened

Green Scorpions deadline looms for Eskom’s emissions-breaching Kendal power station 

By: Terence Creamer     15th January 2020 State-owned electricity utility Eskom, which is struggling to keep the lights on as a result of high levels of unplanned breakdowns across its coal fleet, could be forced to shut down units at the Kendal power station at the end of January unless ongoing noncompliance with the country’s minimum... 

Green Scorpions deadline looms for Eskom’s emissions-breaching Kendal power station
Photo by Creamer Media
Kendal power station

Clarity on emergency procurement of 3 000 MW expected only by end Feb  

By: Terence Creamer     8th January 2020 Hundreds of potential respondents to a request for information (RFI) – issued in December by the Department of Mineral Resources and Energy (DMRE) for supply and demand solutions to South Africa’s prevailing power deficit – descended on Centurion on Wednesday for a briefing ahead of the... 

Clarity on emergency procurement of 3 000 MW expected only by end Feb

DMRE hosts briefing ahead of launch of emergency power programme 

By: Terence Creamer     7th January 2020 A briefing session will be held on Wednesday for potential respondents to the Department of Mineral Resources and Energy’s request for information for power generation solutions that can be “grid connected in the shortest time at the least possible cost”. The responses will be used to inform a... 

DMRE hosts briefing ahead of launch of emergency power programme

Eskom mulls new maintenance strategy that would leave 5 000 MW gap for two years  

By: Terence Creamer     6th January 2020 The Eskom board will, before the end of January, consider a new approach to the maintenance of its ailing coal fleet – one premised on creating more time and space for intensive maintenance and repair, whereby the utility makes a firm commitment to only a minimum level of supply that falls well... 

Eskom mulls new maintenance strategy that would leave 5 000 MW gap for two years
Photo by Creamer Media's Dylan Slater
Eskom COO Jan Oberholzer

Applications for self-generation being fast tracked – Ramaphosa

By: Mariaan Webb     18th December 2019 As calls grow for urgent action on electricity self-generation in the wake of the recent devastating power cuts, President Cyril Ramaphosa said on Wednesday that his government was fast-tracking applications that would allow industry and businesses to produce and use its own power. In an opinion... 

Mantashe says DMRE moves with ‘necessary speed’ on IRP implementation 

By: Simone Liedtke     17th December 2019 Mineral Resources and Energy Minister Gwede Mantashe on Tuesday hit back at criticism about the implementation of the Integrated Resources Plan 2019 (IRP 2019), which was promulgated in October. “We have moved with the necessary speed to ensure the implementation of the IRP, particularly given... 

Mantashe says DMRE moves with ‘necessary speed’ on IRP implementation
Mineral Resources and Energy Minister Gwede Mantashe

Cabinet wants De Ruyter to take over at Eskom sooner 

By: African News Agency      17th December 2019 The final Cabinet meeting of 2019 mandated Public Enterprises Minister Pravin Gordhan to negotiate with Andre de Ruyter to take up his duties as the new Eskom CEO earlier than the set date. De Ruyter, currently CEO of packaging firm Nampak, was set to take up the Eskom top job on January 15.... 

Cabinet wants De Ruyter to take over at Eskom sooner
Photo by Creamer Media
Newly appointed Eskom CEO Andre De Ruyter

DMRE sets Jan 31 deadline for responses to RFI for 3 000 MW of near-term supply

By: Terence Creamer     13th December 2019 The Department of Mineral Resources and Energy (DMRE) on Friday released a request for information (RFI) in a bid to procure between 2000 MW and 3000 MW of power generation capacity "that can be grid connected in the shortest time at the least possible cost". Respondents to the RFI have been... 

DMRE sets Jan 31 deadline for responses to RFI for 3 000 MW of near-term supply
Photo by Creamer Media's Dylan Slater
Mineral Resources and Energy Minister Gwede Mantashe

Minerals Council joins calls for govt to ensure increased electricity self-generation 

By: Simone Liedtke     13th December 2019 The Minerals Council South Africa has welcomed the Department of Mineral Resources and Energy’s (DMRE’s) statement that it is committed to the development of adequate generation capacity to meet electricity demand in the interests of economic growth. However, the council said the industry... 

Renewable-energy projects well under way

By: Darren Parker     13th December 2019 Construction on several Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) fourth bid window projects are well under way. The REIPPPP fourth window bids include 12 wind farms, 12 solar photovoltaic (PV) projects, a biomass project, a mini-hydro project and a concentrated... 

Renewable-energy projects well under way
BLADE RUNNING About half of the turbine components had been delivered to Kangnas and Perdekraal Wind Farms in October

Success of renewables programme continues

By: Darren Parker     13th December 2019 Over the past eight years, the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) has attracted about R209.4-billion in committed private-sector investment, with the successful fourth window bids being valued at about R56-billion. South African companies, such as... 

Success of renewables programme continues
WINDOW OF OPPORTUNITY 27 preferred bidders signed agreements last year and their respective renewable energy projects are well underway

Additional renewable energy development zones proposed

13th December 2019 The second phase of the Strategic Environmental Assessment for wind and solar photovoltaic (PV) energy in South Africa proposes three additional renewable energy development zones for wind and solar PV energy projects. The renewable energy development zones support the responsible implementation... 

Additional renewable energy development zones proposed
RENEWABLE ENERGY DEVELOPMENT ZONES The Phase 2 proposed zones support the responsible implementation of the Integrated Resource Plan 2019

Environmental studies essential to REIPP success

By: Darren Parker     13th December 2019 In most renewable-energy independent power producer (REIPP) project cases, environmental sensitivities can be successfully avoided if developers embrace advice given by environmental consultants during the environmental impact assessment (EIA) stage. This enables developers to better ensure that... 

Environmental  studies essential  to REIPP success
NOT WINGING IT Embracing the advice given by professional environmental consultants early on can lead to the avoidance of many environmental issues

Large power users say options to alleviate pressures need to be urgently unlocked

By: Terence Creamer     12th December 2019 The Energy Intensive Users Group of Southern Africa reiterated on Thursday that its members had several options available to alleviate South Africa’s electricity supply constraints, while warning that the risk of load-shedding would persist until new supply- and demand-side solutions were... 

Large power users say options to alleviate pressures need to be urgently unlocked
Mines such as Gold Fields are ready to invest in power projects

Nersa to host hearings in February into Eskom’s latest R27.3bn claw-back claim  

By: Terence Creamer     6th December 2019 The National Energy Regulator of South Africa (Nersa) will host public hearings in February as part of its adjudication of Eskom’s latest Regulatory Clearing Account (RCA) application for the 2018/19 financial year. Eskom is looking to recoup R27.3-billion under the RCA mechanism, which is a... 

Nersa to host hearings in February into Eskom’s latest R27.3bn claw-back claim

Manufacturer targets product releases, skills development

By: Cameron Mackay     8th November 2019 Solar energy equipment supplier Microcare plans to share its local story of innovation, job creation and skills development next year during its thirtieth year of manufacturing in South Africa and aims to celebrate with product releases and support for even higher standards of solar equipment... 

Manufacturer targets product releases,  skills development
OFF THE GRID Microcare plans to share its local story of innovation, job creation and skills development next year during its 30th year of manufacturing in South Africa

SA’s sun, wind resources enough to meet the country’s needs

By: Schalk Burger     8th November 2019 Solar and wind resources can be used as bountiful energy sources for development, similar to how abundant coal resources in the late nineteenth- and throughout the twentieth- century powered industries and fuelled development, says energy solutions provider Energy Partners Solar CEO Manie de... 

Top-50 aspiration far off as South Africa slips to 84 in Doing Business ranking 

By: Terence Creamer     24th October 2019 South Africa’s position in the World Bank’s latest ‘Ease of Doing Business Ranking’ has deteriorated, dropping to 84 out of the 190 countries surveyed, from 82 in the previous report. New Zealand once again topped the ranking, followed by Singapore and Denmark, while Somalia, Eritrea and... 

Top-50 aspiration far off as South Africa slips to 84 in Doing Business ranking

Rise in distributed-power allocation comes amid surging global rooftop solar growth 

By: Terence Creamer     21st October 2019 The decision of government to increase the allocation for distributed generation in the Cabinet-approved Integrated Resource Plan (IRP2019) comes as the International Energy Agency (IEA) is forecasting a strong acceleration in the installation of distributed solar photovoltaic (PV) systems across... 

Rise in distributed-power allocation comes amid surging global rooftop solar growth

South Africa to test market for emergency power ‘gap fillers’ as IRP is finalised   

By: Terence Creamer     18th October 2019 South Africa will release a request for information (RFI) in the coming weeks to test the market for solutions to close an immediate electricity supply gap of between 2 000 MW and 3 000 MW, which has emerged primarily as a result of a fall in the energy availability factor (EAF) from Eskom’s coal... 

South Africa to test market for emergency power ‘gap fillers’ as IRP is finalised
Mineral Resources and Energy Minister Gwede Mantashe on the Integrated Resource Plan 2019 allocations and the need for short-term supply solutions. Camera Work: Kutlwano Matlala. Editing: Nicholas Boyd. Recorded: 18.10.2019

Tariffs could rise materially in 2020 should Eskom prevail in court bid for urgent relief  

By: Terence Creamer     17th October 2019 State-owned electricity utility Eskom’s decision to approach the courts for urgent relief in the form of a reversal of the Energy Regulator’s controversial March 7 decision to offset a government equity injection of R69-billion through a lowering of the utility’s return on assets could result in... 

Tariffs could rise materially in 2020 should Eskom prevail in court bid for urgent relief

Eskom seeks urgent relief against regulator’s latest ruling to ‘avoid financial disaster’  

By: Terence Creamer     11th October 2019 State-owned electricity utility Eskom will apply for urgent interim relief against the National Energy Regulator of South Africa’s most recent tariff determination, which it is taking on legal review, arguing that such relief is required to “avoid financial disaster”. The legal action follows... 

Eskom seeks urgent relief against regulator’s latest ruling to ‘avoid financial disaster’
Photo by Creamer Media's Dylan Slater
Eskom CFO Calib Cassim

Jobs Summit committee reports progress in various areas

By: Tasneem Bulbulia     7th October 2019 The Presidential Working Committee on the Jobs Summit, which held its monthly meeting on Monday, noted that substantial progress had been made in reforming and modernising South Africa’s visa regime, issuing water-use licences, releasing broadband spectrum, saving jobs in distressed firms and... 

Godongwana calls for ‘simple’ transfer of R250bn of Eskom debt to sovereign

By: Terence Creamer     1st October 2019 African National Congress (ANC) economic transformation committee head Enoch Godongwana outlined his preference for what he termed a “simple” transfer of R250-billion of Eskom debt to government, rather than pursuing the creation of a special purpose vehicle, partly financed through green... 

Godongwana calls for ‘simple’ transfer of R250bn of Eskom debt to sovereign
Photo by Creamer Media
ANC economic transformation committee head Enoch Godongwana

If the health system is corruptible, we all suffer – Ramaphosa 

By: Sane Dhlamini     1st October 2019 President Cyril Ramaphosa on Tuesday said if South Africa’s health care system is marred with unauthorised expenditure, the entire country would suffer the consequences. Ramaphosa was speaking at the launch of the Health Sector Anti-Corruption Forum, which is expected to fight the scourge of... 

If the health system is corruptible, we all suffer – Ramaphosa
President Cyril Ramaphosa

If Sars fails, our democracy fails – Kieswetter 

By: Sane Dhlamini     26th September 2019 South African Revenue Service (Sars) commissioner Edward Kieswetter on Thursday said that if Sars fails our democracy fails. He was addressing delegates at the eleventh Premier Corporate Governance conference in Montecasino organized by Chartered Secretaries Southern Africa. 

If Sars fails, our democracy fails – Kieswetter
Photo by Dylan Slater
SARS Commissioner Edward Kieswetter

Decentralised generation has big implications for distribution network

By: Schalk Burger     20th September 2019 The electricity distribution network will become increasingly important – and has to become increasingly smart – to meet future electricity needs amid the growth of variable and decentralised generation, a range of experts say. The electricity distribution industry will have to change drastically... 

Decentralised generation has big implications for distribution network

Cabinet considers, but fails to approve, IRP update  

By: Terence Creamer     19th September 2019 While Cabinet considered the much-anticipated update to South Africa’s Integrated Resource Plan for electricity at its meeting on Wednesday, Minister in The Presidency Jackson Mthembu said discussions had not yet been concluded. Mthembu attributed the extension of Cabinet-level deliberations on... 

Cabinet considers, but fails to approve, IRP update
Minister in the Presidency Jackson Mthembu
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