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Regulation News

UK announces further funding for small modular nuclear reactor programme

By: Keith Campbell     19th January 2018 The British government last month announced the next phase in its programme of funding the development of small modular nuclear reactors (SMRs), which forms part of a larger programme to develop the nuclear technology and energy sector in the UK. This phase will see Westminster awarding up to... 

Editorial: Eskom requires surgery not a Band-Aid

By: Terence Creamer     18th January 2018 Eskom’s debt refinancing is undoubtedly a critical burning platform. The clock is most definitely ticking and the consequences of not closing the immediate financial chasm will be dire not only for the utility, but also for citizens. That said, government is extremely unlikely to allow Eskom to... 

Editorial: Eskom requires surgery not a Band-Aid

Calls made for far-reaching Eskom restructuring as sustainability risks mount

By: Terence Creamer     9th January 2018 Eskom’s current financial situation makes it difficult to see any other path to sustainability than that of drastic cost-cutting, restructuring and bringing private equity into the business, Energy Intensive Users Group of Southern Africa (EIUG) past chairperson Piet van Staden argues. In an... 

Calls made for far-reaching Eskom restructuring as sustainability risks mount

Business Leadership SA slams executives’ reinstatement at Eskom

By: African News Agency      5th January 2018 Business Leadership South Africa (BLSA) has slammed the reappointment of Matshela Koko and Prish Govender at power utility Eskom, saying this flew in the face of complying with the rule of law and undermined efforts to restore confidence in the economy. BLSA said it was shocked and dismayed that... 

Business Leadership SA slams executives’ reinstatement at Eskom
Photo by Duane Daws
BLSA chief executive Bonang Mohale

Eskom reinstates embattled executives Matshela Koko and Prish Govender

By: African News Agency      3rd January 2018 South African power utility, Eskom confirmed on Wednesday that former acting chief executive Matshela Koko and former acting group executive for group capital, Prish Govender, have been reinstated after they were cleared in disciplinary hearings. Eskom spokesperson, Khulu Phasiwe, said that the... 

Eskom reinstates embattled executives Matshela Koko and Prish Govender

Gigaba backs lower tariff hike, says Eskom a drain on fiscus

By: News24Wire      18th December 2017 Finance Minister Malusi Gigaba said on Saturday that he supports the National Energy Regulator of South Africa (Nersa’s) decision not to grant the nearly 20% tariff increase Eskom had applied for as the current state of the economy wouldn’t have been able to support this. Nersa on Friday, granted... 

Gigaba backs lower tariff hike, says Eskom a drain on fiscus
Finance Minister Malusi Gigaba

Proposed carbon tax ‘least-cost manner’ to ensuring greenhouse-gas reduction – Treasury 

By: Schalk Burger     15th December 2017 The National Treasury released the Second Draft Carbon Tax Bill for public comment on Friday and averred that it “seeks to give effect to the polluter pays principle . . . and will assist, in a least-cost manner, in reducing greenhouse-gas (GHG) emissions and ensuring that South Africa meets its... 

SA power plant listed 4th dirtiest in world's 'Dirty Dozen' 

By: News24Wire      12th December 2017 South Africa’s Thabametsi project has been listed as one of the “Dirty Dozen projects”, twelve fossil fuel projects worldwide environmental groups say exemplify the massive volumes of public finances still flowing to fossil fuel projects, which are driving climate change. The list comes as world... 

No further IRP consultations as Cabinet approves plan and 27 renewables projects 

By: Terence Creamer     7th December 2017 Energy Minister David Mahlobo reported on Thursday that Cabinet approved an updated Integrated Resource Plan (IRP) for electricity during a marathon 12-hour meeting on Wednesday and that the new plan would be published without any further public consultation. Briefing the media at an ‘Energy... 

No further IRP consultations as Cabinet approves plan and 27 renewables projects
Energy Minister David Mahlobo

Zuma promises ‘seamless’ ANC transition at energy indaba that sidesteps IRP debate 

By: Terence Creamer     7th December 2017 President Jacob Zuma used his address at the Energy Indaba, taking place in Johannesburg this week, to assure business and investors that the upcoming African National Congress (ANC) elective conference would be “orderly and peaceful”, while promising a “seamless” handover to the new ANC... 

Zuma promises ‘seamless’ ANC transition at energy indaba that sidesteps IRP debate
President Jacob Zuma and Energy Minister David Mahlobo

Kganyago concerned another big power tariff hike will trigger grid defections

By: Terence Creamer     6th December 2017 South African Reserve Bank governor Lesetja Kganyago has added his voice to a growing chorus of concern that South African businesses, and even high-income households, could defect from the electricity grid in numbers should Eskom prevail in its bid for a 19.9% tariff increase from April 1, 2018.... 

Kganyago concerned another big power tariff hike will trigger grid defections
South African Reserve Bank governor Lesetja Kganyago

Nersa says special power deal for Silicon Smelters must start on July 1 or earlier

By: Terence Creamer     6th December 2017 The National Energy Regulator of South Africa (Nersa) has confirmed that a special pricing agreement (SPA) between Eskom and Silicon Smelters, which was approved in August, should commence no later than July 1, 2018, and continue for a maximum of two years. Silicon Smelters, a subsidiary of... 

Nersa says special power deal for Silicon Smelters must start on July 1 or earlier

Nersa shifts Eskom tariff decision to December 13

By: Terence Creamer     4th December 2017 The National Energy Regulator of South Africa (Nersa) confirmed on Monday that it would announce its decision on Eskom’s 2018/19 revenue application on December 13, instead of the December 7 date initially set for the determination. “The date has been changed due to more time being required to... 

Nersa shifts Eskom tariff decision to December 13

Necsa shuts down key unit because of compliance failure

By: Keith Campbell     1st December 2017 The South African Nuclear Energy Corporation (Necsa) has executed an immediate shut down of its NTP Radiochemical Facility, because of non-compliance with licensing conditions. NTP produces radioisotopes for both industrial and an especially medical purposes, and many cancer and other patients in... 

Grid operators turning to batteries as costs fall and need for flexibility rises

By: Terence Creamer     28th November 2017 The standalone cost of battery energy storage remains above South Africa’s prevailing, albeit rising, electricity tariffs, but could already be commercially viable in some instances when the “stacked benefits” of the technology are taken into account. A levelised cost of electricity (LCOE) study... 

Grid operators turning to batteries as costs fall and need for flexibility rises
Photo by Duane Daws
Eskom's battery energy storage test site at Rosherville, in Gauteng

Mahlobo’s call for ‘modular’ electricity roll-out at odds with nuclear ambition

By: Terence Creamer     27th November 2017 Energy Minister David Mahlobo’s latest Parliamentary reply, in which he argues that there is no longer a need to build large generation units, owing to the availability of low-cost smaller generation options, is at odds with his support for a large-scale nuclear build programme. In response to... 

Mahlobo’s call for ‘modular’ electricity roll-out at odds with nuclear ambition
Photo by Duane Daws
Energy Minister David Mahlobo

Growing domestic demand at heart of plan to create a million manufacturing jobs 

By: Terence Creamer     24th November 2017 The Manufacturing Circle released a plan on Friday outlining how South Africa could create a million jobs over a ten-year period through pursuing a series of reforms designed at stimulating demand for South African manufactured products and improving the investment climate. The 48-page document,... 

Growing domestic demand at heart of plan to create a million manufacturing jobs
Photo by Duane Daws
Trade and Industry Minister Dr Rob Davies and Manufacturing Circle chairperson André de Ruyter

Power and utilities drone market worth more than $9bn

By: Dylan Slater     24th November 2017 The international drone market comprising solutions that use drones for the power and utilities industries is worth as much as $9.46-billion a year, according to a report published by professional services firm PricewaterhouseCoopers (PwC).  

Africa specialist punts local presence as key to capitalising as infrastructure spend set to boom

By: Megan van Wyngaardt     23rd November 2017 Through innovation in the energy sphere, Africa is slowly starting to overcome historical blockages that have prevented the continent from achieving economic growth and creating sustainable jobs, according to energy consultancy Africa House director Duncan Bonnett. Speaking at a PowerGen and... 

Africa specialist punts local presence as key to capitalising as infrastructure spend set to boom

South African nuclear body shuts down key unit because of compliance failure 

By: Keith Campbell     22nd November 2017 The South African Nuclear Energy Corporation (Necsa) has executed an immediate shut down of its NTP Radiochemical Facility, because of non-compliance with licensing conditions. NTP produces radioisotopes for both industrial and an especially medical purposes, and many cancer and other patients in... 

South African nuclear body shuts down key unit because of compliance failure
Photo by Duane Daws/Creamer Media
An aerial view of Necsa’s complex at Pelindaba

Eskom’s ‘death spiral’ under the microscope 

By: Terence Creamer     21st November 2017 A major topic of discussion during recent public hearings into Eskom’s 2018/19 revenue application, was whether a further double-digit tariff hike could trigger a “utility death spiral”, whereby rising tariffs and utility costs spark an exodus of energy-intensive customers from the network,... 

Eskom’s ‘death spiral’ under the microscope

Eskom rejects call for inflation-capped hike, as Nersa gears up for Dec 7 decision 

By: Terence Creamer     20th November 2017 State-owned power utility Eskom has rejected calls for its 2018/19 tariff to be capped at the level of inflation, arguing that such a move would be financially unsustainable as it would result in a revenue reduction, which would further squeeze its liquidity and could place the country’s credit... 

Eskom rejects call for inflation-capped hike, as Nersa gears up for Dec 7 decision
Photo by Duane Daws
Nersa fulltime regulatory member for electricity Mbulelo Ncetezo says decision should be announced on December 7

Eskom’s business model is ‘no longer fit for purpose’ 

By: Terence Creamer     17th November 2017 Organised business made an impassioned plea this week for government to urgently review Eskom’s business model, which it said was “no longer fit for purpose”. In a presentation to the National Energy Regulator of South Africa, business also warned that, in the absence of a holistic view within... 

Eskom’s business model is ‘no longer fit for purpose’
Photo by Duane Daws
Busa VP Martin Kingston

Investment in solar has overtaken coal globally, says IEA

By: Kim Cloete     16th November 2017 Breaking all-time records, renewables currently account for two thirds of global net capacity additions, according to one of several reports about how renewable energy is powering ahead. The trend is set to continue. “All renewables will grow at double the velocity of fossil fuels within the next... 

Investment in solar has overtaken coal globally, says IEA

Eskom admits liquidity is ‘not at desired levels’

By: Terence Creamer     13th November 2017 State-owned electricity producer Eskom acknowledged on Monday that its liquidity levels were “not at the desired levels” and indicated that securing the balance of its funding requirement for the current financial year would depend on addressing pressing governance and leadership issues.... 

Eskom admits liquidity is ‘not at desired levels’
Photo by Duane Daws
Eskom interim CEO Sean Maritz

Nigeria, Russia sign nuclear agreements

By: Keith Campbell     10th November 2017 Nigeria has signed agreements with Russia covering the construction and operation of a nuclear power plant (NPP) and a nuclear research reactor and associated research facilities, Russia’s State-owned nuclear group Rosatom has announced. The two countries also signed a cooperation roadmap... 

Upcoming energy event to showcase African project opportunities  

By: Simone Liedtke     10th November 2017 A key focus point of the African Energy Indaba (AEI) – which celebrates its ten-year milestone next year – is to provide access to project opportunities across the African continent. 

Upcoming energy event to showcase African project opportunities
Africa Energy Indaba (AEI) MD Liz Hart, AEI chairperson Brian Statham and South African Electrotechnical Export Council CEO Chiboni Evans discuss the AEI next year. Camera: Nicholas Boyd. Editing: Lionel da Silva.

Conference aims to strengthen cross-border relations

By: Nadine James     27th October 2017 The prospects for wind power within and beyond the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) will be discussed at this year’s Windaba conference and exhibition, exploring opportunities outside South Africa’s borders, and consider ways of establishing cross-border... 

Conference aims to strengthen cross-border relations
ANSWERS IN THE WIND The Windaba programme has been designed to be relevant regardless of whether the mid-term outlook is good or uncertain

Partnership seeks to provide best-practice health and safety training

By: Schalk Burger     27th October 2017 Inspection, testing, verification and certification multinational SGS and State-owned power utility Eskom have partnered to train 24 local youths at Eskom’s Grootvlei power station in the Dipaleseng municipality, in Mpumalanga, south of Heidelberg, in 12 subjects related to safety, health and... 

COMMENT: Eskom is indeed an ‘enormous risk’ 

By: Terence Creamer     26th October 2017 While there are very few positives to draw from Finance Minister Malusi Gigaba’s maiden Medium-Term Budget Policy Statement (MTBPS), his acknowledgement that Eskom poses an “enormous risk” to the entire economy is one. “Eskom exposes government to an enormous risk because of the size of its... 

COMMENT: Eskom is indeed an ‘enormous risk’

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... 

Nersa releases dates and venues for upcoming Eskom hearings

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
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... 

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

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

 Sending right economic signals key to integration of distributed energy resources

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... 

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