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Regulation News

New initiative to be launched at tenth Africa Energy Indaba

By: Simone Liedtke 24th October 2017 In the run-up to the tenth yearly Africa Energy Indaba (AEI) in February, the South African Electrotechnical Export Council (SAEEC) on Tuesday announced that it would launch its African Energy Consultants initiative at the event. The SAAEC, which is a partner of the AEI Trade Association that... →

Nersa releases dates and venues for upcoming Eskom hearings

By: Creamer Media Reporter 20th October 2017 The National Energy Regulator of South Africa (Nersa) has published the dates and venues for its upcoming public hearings into Eskom’s revenue application for the 2018/19 financial year. Eskom has applied for an allowable revenue of R219.5-billion, which would translate to a 19.9% average... →

What the Cabinet reshuffle means for the electricity supply industry

19th October 2017 Creamer Media’s Samantha Herbst talks to Engineering News editor Terence Creamer about the appointment of David Mahlobo as the new Energy Minister. →

What the Cabinet reshuffle means for the electricity supply industry

‘Absolutely no need' for nuclear, Dames says in State-capture testimony

By: Kim Cloete 18th October 2017 Former Eskom CEO Brian Dames has revealed that he faced a breakdown in communication between the board and management, as well as death threats during his time at the state utility. He has also told Parliament’s Portfolio Committee on Public Enterprises that there is "absolutely no need" for... →

Former Eskom CEO Brian Dames

Evidence of blatant corruption at Eskom unpacked at Parliament’s inquiry into State capture

By: Kim Cloete 17th October 2017 Parliament’s Portfolio Committee on Public Enterprises has kicked off its inquiry into alleged State capture with a report revealing “overwhelming evidence of grand corruption”, governance failure and a stream of irregularities at Eskom, South Africa’s largest State-owned entity. Research... →

Research professor Anton Eberhard

Sending right economic signals key to integration of distributed energy resources

By: Terence Creamer 16th October 2017 The transition from centralised electricity systems to ones that increasingly comprise both large-scale centralised resources and distributed energy resources (DERs) is under way globally. However, to successfully manage the shift will depend substantially on sending the right economic signals, a... →

Eskom must implement ‘aggressive’ cost cutting, EIUG says as it urges Nersa to reject 19.9% hike

By: Terence Creamer 14th October 2017 Eskom’s application for a 19.9% tariff hike from April 1, 2018, is unacceptable and will result in the partial or full closure of plant capacity and increase unemployment, the Energy Intensive Users Group (EIUG) states in a written submission to the National Energy Regulator of South Africa... →

SA weighs market opportunities as utility-scale battery storage prospects improve

By: Mia Breytenbach 13th October 2017 Following the release of an energy storage techno-economic study ‘The South Africa Energy Storage Technology and Market Assessment’, advocating that South Africa requires market preparation to take advantage of growth opportunities in the stationary and mobility value chains of energy storage,... →

Eskom facing threats on multiple fronts, Maritz acknowledges

By: Terence Creamer 12th October 2017 Eskom’s newest interim group CEO Sean Maritz has acknowledged that the utility is facing threats on multiple fronts in light of rapid changes to the global electricity landscape and the constrained outlook for domestic electricity sales. However, in a statement calling for “space and time to... →

Photo by Duane Daws
Eskom interim group CEO Sean Maritz

Eaton aiming to grow share in African utility market

By: Schalk Burger 6th October 2017 Electrical components and systems company Eaton aims to grow in the utility, commercial buildings and mining sectors in Africa by replicating the success of its power quality business, says Eaton Africa Sales Director Malvin Naicker. Eaton is focused on providing high-quality technical support... →

MOBILE MODEL Devan Reddy, Arlind Mucaku, Malvin Naicker, Sumaya Abdool and Pieter van den Berg in front of the mobile truck with Eaton products and CPD lectures

Electricity industry approaching ‘breaking point’, City Power warns

By: Terence Creamer 3rd October 2017 Johannesburg’s electricity utility City Power is warning that the current structure of South Africa’s electricity sector is unsustainable and that, in the absence of a coherent national policy, the sector is approaching “breaking point”. Demand- and supply-side manager Paul Vermeulen says that... →

Delayed hearing into wind body’s Eskom complaint moves ahead

By: Terence Creamer 29th September 2017 The National Energy Regulator of South Africa (Nersa) hosted a closed hearing on Friday as part of its investigation of a complaint by the South African Wind Energy Association (SAWEA) against Eskom. SAWEA, which lodged the grievance in October 2016, alleges that the State-owned utility’s refusal... →

Unreasonable electricity price curve contributing to weak business climate – EIUG

By: Terence Creamer 28th September 2017 The Energy Intensive Users Group of Southern Africa (EIUG) has called for urgent intervention to halt what it describes as the current “downward spiral” of a shrinking electricity sales base and increasing and unaffordable electricity tariffs. The EIUG represents 32 mostly mining and industrial... →

Dr Tsakani Mthombeni

Auditing firm cuts ties with Gupta’s Oakbay

By: Sane Dhlamini 27th September 2017 The board of auditing firm Sizwe Ntsaluba Gobodo (SNG) has resigned as auditors of Gupta-owned Oakbay Resources and Energy Limited and its related entities. The auditing firm’s statement stipulates that this decision was made after a thorough assessment of its relationship with the company which... →

Toxic environment to galvanise opposition as Eskom seeks 19.9% hike

22nd September 2017 Creamer Media’s Samantha Herbst talks to Engineering News editor Terence Creamer about what can be expected from Eskom’s application for a 19.9% tariff hike. →

A look into Eskom’s double-digit tariff hike application

Eskom not generating enough cash to cover interest on debt – report

By: Terence Creamer 21st September 2017 A new report analysing Eskom’s financial position warns that the State-owned utility is simply not generating enough cash through operations and electricity sales to cover the interest on its borrowings, which will peak at around R500-billion in the coming three years. However, it also argues... →

‘Rebasing’ for lower Eskom sales to trigger 9.4% hike even before any revenue adjustment

By: Terence Creamer 20th September 2017 State-owned electricity utility Eskom has sounded that warning that, even if its allowable revenue is not increased at all for the 2018/19 year, tariffs will still need to rise by 9.4% simply to accommodate a “rebasing” electricity sales volumes when compared with those approved in the third... →

Nelson Mandela Bay chamber says 19.9% power hike would be ‘crippling’

By: Terence Creamer 15th September 2017 The Nelson Mandela Bay Business Chamber has expressed extreme disappointment with Eskom’s application for a 19.9% tariff increase from April 1, 2018, warning that such a hike would be “crippling” to business and the economy. Should the increase be approved it could translate to a 27.5% municipal... →

Labels assist in reducing domestic energy use

By: Robyn Wilkinson 15th September 2017 With all common household electronic appliances now required to display new energy efficiency labelling, the National Regulator for Compulsory Specifications (NRCS) is confident that there will be a marked improvement in energy use and cost savings in South Africa, says NRCS communications and... →

Photo by Bloomberg
CUSTOMER PROTECTION Updated labelling informs end-users of the energy performance of household appliances, which must meet Minimum Energy Performance Standards to be sold in South Africa

Frustration as Nersa postpones closed hearing into wind body’s Eskom complaint

By: Terence Creamer 14th September 2017 The South African Wind Energy Association (SAWEA) has expressed frustration over a decision by the National Energy Regulator of South Africa (Nersa) to postpone a hearing into its 11-month-old complaint into the refusal of Eskom to sign agreements to buy electricity from independent power... →

Stakeholders to push back at upcoming hearings into Eskom’s 2018 hike

By: Terence Creamer 14th September 2017 The National Energy Regulator of South Africa (Nersa) has outlined the process it will be following to assess Eskom’s request for a 19.9% tariff increase for the 2018/19 financial year, setting a deadline of October 13 for the submission of written comments. Nersa has approved Eskom’s request to... →

Eskom at a sustainability ‘tipping point’, business and labour warn

By: Terence Creamer 8th September 2017 Business and labour raised serious questions on Friday about the sustainability of State-owned electricity producer Eskom in light if its current governance failings, which were now undermining its financial health to the point where government could be force to assist the utility in meeting its... →

Photo by Duane Daws
Labour Minister Mildred Oliphant in conversation with Deputy President Cyril Ramaphosa at the Nedlac Summit

Study urges South Africa to find energy storage niche

By: Mia Breytenbach 1st September 2017 With energy storage considered to be the “new wave” in the energy sector and increasingly becoming a reality, South Africa needs to prepare itself if it wishes to take advantage of the energy storage growth opportunities within the energy storage stationary value chain and the mobility value... →

ConCourt ruling opens way for Nersa to process further clawback claims – Eskom

By: Terence Creamer 22nd August 2017 The Constitutional Court has refused an application by several Eastern Cape businesses for leave to appeal a Supreme Court of Appeal (SCA) ruling relating to implementation of the Regulatory Clearing Account (RCA) mechanism in South Africa’s multiyear price determination (MYPD) electricity... →

Eskom tariffs in the spotlight

By: Creamer Media Reporter 17th August 2017 Creamer Media's Chanel de Bruyn speaks to Engineering News Editor Terence Creamer about the National Energy Regulator of South Africa’s decision not to grant Eskom’s request for a deviation from the tariff methodology for its upcoming price determination application and how industry is likely to... →

Eskom tariffs in the spotlight

Electricity intensive firms to approach Nersa for new job-saving tariff deal

By: Terence Creamer 16th August 2017 The Energy Intensive Users Group (EIUG) will approach the National Energy Regulator of South Africa (Nersa) before the end of September with a proposal for structural changes to Eskom’s tariff for large power users by removing existing cross-subsidies to assist businesses whose future... →

EIUG chairperson Dr Tsakani Mthombeni

Eskom given 30 days to meet Nersa requirements for 2018 tariff application

By: Terence Creamer 11th August 2017 The National Energy Regulator of South Africa (Nersa) has refused Eskom’s request to deviate from key aspects of the multiyear price determination (MYPD) methodology, as well as the minimum information requirements for a tariff application (MIRTA) and has given the utility until the end of August... →

Legal and policy certainty required if gas economy is to be realised

By: Mia Breytenbach 4th August 2017 Key factors that will influence the establishment of a gas economy in South Africa include the passing of the amended Mineral and Petroleum Resources Development Act (MPRDA) and greater clarity regarding the expected and stated imports of liquefied natural gas (LNG), says South African Oil and... →

Photo by Reuters
INDUSTRIAL ROLEMODEL Liquefied petroleum gas industry could play a strategic role in the establishment of a gas economy as key lessons can be learnt from this industry

Company to hold short courses and workshops this year

By: Simone Liedtke 28th July 2017 Environment solutions company I-CAT plans to hold a range of external, environment-oriented short courses and workshops at its Pretoria-based training facility by the last quarter of this year, as a means to keep the industry updated on legislation changes and the responsibility of industry players. →

Photo by Duane Daws
LOURENS JANSEN VAN RENSBURG I-CAT uses highly qualified and experienced facilitators to provide competency-based specialised training programmes

Eskom tariffs in AMSA’s action plan crosshairs as losses spike

By: Terence Creamer 27th July 2017 Steel producer ArcelorMittal South Africa (AMSA) will approach the National Energy Regulator of South Africa (Nersa) directly with a request for discounted electricity tariffs as part of a multi-pronged business sustainability action plan unveiled after the JSE-listed group slumped to a... →

AMSA CEO Wim de Klerk on seeking a new electricity tariff deal from Eskom and Nersa. Camera Work & Editing: Darlene Creamer. Recorded: 27.7.2017

South Africa’s ‘accelerating’ SOE-guarantee exposure a risk to debt sustainability

By: Terence Creamer 24th July 2017 Rising contingent liabilities in State-owned enterprises (SOEs), together with the recent ratings downgrades pose the main risks to South Africa’s debt sustainability, the Organisation for Economic Cooperation and Development (OECD) cautions in its fifth and latest economic survey of the country.... →

Photo by Duane Daws
OECD secretary-general Angel Gurría and South Africa's Finance Minister Malusi Gigaba

Africa’s energy future lies in solar energy, says CEO

By: Anine Kilian 19th July 2017 The future of Africa’s energy sector must rest in solar power if it is going to overcome the obstacles it currently faces, according to Zimbabwe-based renewable energy company Samansco CEO Nyasha Bamhare. Addressing delegates at the PowerGen Africa conference, which is taking place in Sandton... →

Black-led energy investment firm encouraged by moves to restore IPP policy certainty

By: Terence Creamer 17th July 2017 The head of a black-managed and led JSE-listed energy investment company says he is encouraged by the framework outlined by Finance Minister Malusi Gigaba for re-establishing policy certainty for the electricity sector and for independent power producers (IPPs). IPPs have been left in limbo since... →

Hulisani CEO Marubini Raphulu

Event to facilitate meaningful and relevant debate

By: Robyn Wilkinson 14th July 2017 The POWER-GEN & DistribuTECH Africa advisory board has gone to great lengths to ensure that this year’s conference programme is tailored to meaningfully address the issues most relevant to Africa’s power generation sector and supported by a showcase of suppliers who can practically assist in... →

Photo by Bloomberg
PLOTTING FUTURE PATHS Creative thinking is needed to devise a representative power-generation portfolio that leverages all the options available

Conformity assessment key to navigating disruption in the power sector

By: Robyn Wilkinson 14th July 2017 The power industry is a global community that has developed a strong habit of sharing best practice and discussing joint problems – making events like POWER-GEN & DistribuTECH Africa invaluable for advancing the sector in times of disruption, says testing, inspection and certification services... →

Photo by Reuters
UP TO STANDARD Conformity assessment involves ensuring clients’ power assets are developed, constructed and operated in line with all applicable regulations

Decentralise, find optimal mix

14th July 2017 Decentralisation of generation and determining the optimal energy mix for available resources and needs are crucial for addressing Africa’s energy challenges, say industry experts on the advisory board of the upcoming POWER-GEN & DistribuTECH Africa conference and exhibition in Johannesburg. →

Photo by Duane Daws
NIGEL BLACKABY The nuclear question, optimal use of renewables and funding for independent power producer programmes are key issues for discussion

Focus shifts to power distribution

14th July 2017 Global professional services provider Accenture resources MD and associate director Ken Robinson – who will be speaking at this year’s POWER-GEN & DistribuTECH Africa – says South Africa’s generation crisis is largely under control, but that power supply challenges loom in distribution. →

FOCUS ON DISTRIBUTION The backlog in municipal power infrastructure maintenance is growing and could result in more blackouts, especially in rural areas and small towns

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