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Regulation News

Public consultations for IRP, IEP get under way as DoE attracts criticism over timelines, pricing basis 

By: Natasha Odendaal     7th December 2016 Planned nationwide public consultations got under way in Boksburg on Wednesday for the Department of Energy’s (DoE’s) long-awaited draft Integrated Energy Plan (IEP) and updated Integrated Resource Plan (IRP), drawing some industry criticism regarding timelines and an outdated pricing structure.... 

Outa objects to handling of IRP public consultation process 

By: African News Agency      6th December 2016 Organisation Undoing Tax Abuse (Outa) on Tuesday accused the department of energy of giving the public too little time to weigh in on the draft Integrated Resource Plan (IRP), which sees South Africa adding 20 gigawatt of nuclear energy to its power grid over the next three decades. “Outa has... 

Outa objects to handling of IRP public consultation process

Eskom outlook still negative, but could change – Moody’s

By: Megan van Wyngaardt     6th December 2016 Ratings agency Moody’s Investors Service has affirmed State-owned power utility Eskom’s Ba1 senior unsecured and senior unsecured medium-term notes’ ratings, while simultaneously assigning to Eskom a national scale rating of A2.za. The outlook on both ratings is negative. In its statement,... 

Eskom outlook still negative, but could change – Moody’s

Bushveld Energy upbeat about IRP, but concedes challenges remain

By: Megan van Wyngaardt     5th December 2016 While independent power producers await government’s updated Integrated Resource Plan (IRP) with bated breath, as it could possibly impact on the roll-out of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP), electricity storage provider Bushveld Minerals is excited... 

Bushveld Energy upbeat about IRP, but concedes challenges remain

Eskom reiterates 50%-plus black ownership requirement for coal suppliers

By: Megan van Wyngaardt     5th December 2016 State-owned electricity provider Eskom on Monday reiterated its commitment to procure coal for its power stations from companies that have a black ownership of more than 50%, throughout the life of the mine. This comes after Exxaro Resources recently revealed a new black economic empowerment... 

Eskom reiterates 50%-plus black ownership requirement for coal suppliers

Illegal electricity connections tripping up service delivery in Cape Town

By: African News Agency      5th December 2016 The City of Cape Town’s electricity services department is facing an uphill battle to prevent illegal connections to the grid, the city said on Sunday. Last week, attempts to disconnect illegal users resulted in violent protest action in Schaapkraal and the Philippi horticultural area. 

Outa calls for forensic audit of Eskom 

By: Megan van Wyngaardt     28th November 2016 The Organisation Undoing Tax Abuse (Outa) on Monday called on the public to “rally” for a full forensic audit of State-owned electricity generator Eskom, following “yet another vote of no-confidence on Eskom’s financials and governance manifesting in a Standard & Poor’s (S&P’s) downgrade”. S&P’s... 

Electricity reports in North West rise after Operation Khanyisa campaign

By: Megan van Wyngaardt     17th November 2016 Following a recent awareness campaign about the negative impacts of electricity theft in the North West, Eskom’s Operation Khanyisa has seen a significant increase in the number of anonymous electricity theft tip-offs recorded in the province. According to Eskom’s Bryan Katane, the power... 

As DoE prepares to release IRP, all eyes will be on nuclear 

By: Terence Creamer     17th November 2016 The Department of Energy (DoE) will on Tuesday November 22 release the long-waited draft of the updated Integrated Resource Plan (IRP) for electricity, as well as the draft Integrated Energy Plan (IEP). The release, which will take place in Pretoria, follows the Cabinet decision of November 2,... 

As DoE prepares to release IRP, all eyes will be on nuclear
The Koeberg nuclear power station, in the Western Cape

Presidency dismisses reports that Ministers will intervene in IPP PPA signing delays

By: Megan van Wyngaardt     7th November 2016 The Presidency on Monday disputed media reports that President Jacob Zuma has tasked Environmental Affairs Minister Edna Molewa and Science and Technology Minister Naledi Pandor to persuade Eskom CEO Brian Molefe to sign off on new power purchase agreements (PPAs) with independent power producers... 

Cabinet takes steps on energy, resources plans

By: Megan van Wyngaardt     3rd November 2016 Cabinet has approved that the Integrated Energy Plan, which is aimed at ensuring that current and future energy service needs can be met, be published for public discussion. Anchored in the National Energy Act of 2008, the plan seeks to guide future energy infrastructure investments and policy... 

National Nuclear Regulator building itself up to meet future challenges

By: Keith Campbell     21st October 2016 South Africa’s National Nuclear Regulator (NNR) is busy strengthening the country’s nuclear regulatory framework, in anticipation of the planned construction of a fleet of new nuclear power stations (NPPs). “As part of strengthening our capacity we recently launched a Centre for Nuclear Safety... 

South Africa reaffirms commitment to air transport liberalisation

By: Keith Campbell     21st October 2016 South African Deputy Transport Minister Sindisiwe Lydia Chikunga reaffirmed the country’s support for opening Africa’s aviation markets. “South Africa supports the liberalisation of air transport in Africa,” she said in her keynote address at the South African Civil Aviation Authority’s Aviation... 

Eskom executive upbeat about entity’s performance

By: Megan van Wyngaardt     20th October 2016 Eskom customer service operations GM Marion Hughes on Thursday highlighted the many achievements of the power utility in the past year, including the fact that it has not had the need to load-shed for a year. Speaking at the yearly South African Chamber of Commerce and Industry convention, she... 

Nersa awaits RCA appeal before moving on new Eskom applications

By: Terence Creamer     19th October 2016 The National Energy Regulator of South Africa (Nersa) expects its application for leave to appeal a recent North Gauteng High Court judgment, which found its approval of Eskom’s third multiyear price determination (MYPD3) Regulatory Clearing Account (RCA) for the 2013/14 to be unlawful, to take... 

Nersa awaits RCA appeal before moving on new Eskom applications
Photo by Duane Daws
Nersa regulator Thembani Bukula

Nersa sticks with maximum price methodology for gas after court victory 

By: Terence Creamer     18th October 2016 The National Energy Regulator of South Africa (Nersa) reports that it will continue to implement the maximum price methodology for piped gas, following a recent court ruling dismissing a move by large industrial gas users to have the 2013 approval of a Sasol Gas application under the methodology... 

Nersa sticks with maximum price methodology for gas after court victory

S African nuclear regulator building itself up to meet future challenges

By: Keith Campbell     5th October 2016 South Africa’s National Nuclear Regulator (NNR) is busy strengthening the country’s nuclear regulatory framework, in anticipation of the planned construction of a fleet of new nuclear power stations (NPPs). “As part of strengthening our capacity we recently launched a Centre for Nuclear Safety... 

S African nuclear regulator building itself up to meet future challenges

Global investors show interest in gas-to-power programme 

By: Kim Cloete     4th October 2016 Investors from around the world, including the US, Japan, Spain, South Korea and China, among others, have met in Cape Town this week to hear more about plans for South Africa’s gas-to-power programme. A preliminary information memorandum (PIM), which establishes the scope of the Liquefied... 

Global investors show interest in gas-to-power programme
DoE IPP office head Karen Breytenbach

New Eskom treasurer to oversee R327bn funding programme

By: Megan van Wyngaardt     8th September 2016 State-owned power provider Eskom has appointed Andre Pillay as its treasurer, putting him in charge of the beleaguered parastatal’s R327-billion funding programme. Prior to the appointment, which was effective September 1, Pillay had been a senior manager in Eskom’s treasury department since... 

New Eskom treasurer to oversee R327bn funding programme

Nuclear regulator grants extension for Eskom nuclear site comment period

By: Megan van Wyngaardt     2nd September 2016 The National Nuclear Regulator (NNR) has given State-owned electricity provider Eskom approval to extend the period for comment on its application for a Nuclear Installation Site Licence (NISL) at Thyspunt, in the Eastern Cape, by 30 days. Additionally, the NNR gave Eskom approval to place a... 

RFO consumption expected to decline significantly by 2020

2nd September 2016 US energy research agency Energy Information Administration (EIA) in May released a report that commented that residual fuel oil (RFO) consumption is expected to decline significantly within the next four years. RFO is one of several residuals that remain after lighter materials, including... 

I am captured by the Constitution, not by the Guptas, says Molefe 

By: Kim Cloete     31st August 2016 Eskom CEO Brian Molefe has strongly rejected allegations that he undermined and blocked a review by National Treasury into the utility's coal contracts with Gupta-linked company Tegeta Exploration and Resources. “I am captured by the Constitution, not by the Guptas,” said Molefe, fielding... 

I am captured by the Constitution, not by the Guptas, says Molefe
Eskom CEO Brian Molefe

Opinion: Start electricity reform process now before another crisis 

26th August 2016 South Africa has not had load shedding for nearly a year. This is a welcome development after years of power cuts that constrained economic growth. Electricity consumption has more or less flattened out, giving the national utility, Eskom, more space to catch up on maintenance and meet demand.... 

Opinion: Start electricity reform process now before another crisis
Photo by Duane Daws
Anton Eberhard

Opinion: Regulated electricity tariffs put squeeze on municipal finances

26th August 2016 Annual increases in municipal charges take place in July each year and this week Stats SA’s Consumer Price Index reported that municipal electricity tariffs increased on average by 7.5%. This is slightly less than the 7.6% increase that the National Energy Regulator of South Africa (Nersa) set as... 

Opinion: Regulated electricity tariffs put squeeze on municipal finances

Greater awareness of SA gas installation regulations needed

26th August 2016 Similar to an electrical equivalent, gas installations need to be regulated in order to ensure optimum safety practices are adhered to. As gas usage increases in South African homes and businesses, awareness needs to be drawn to the safe practice of working with, installing and storing gas. As an... 

Greater awareness of  SA gas installation  regulations needed
SAFETY FIRST Anyone that works with gas installations needs to be a registered gas practitioner with the South African Qualification and Certification Committee for Gas

Southern African piped gas industry booming

26th August 2016 With the availability of natural gas in countries such as Mozambique and Namibia, coupled with the discovery of gas reserves offshore Mozambique and South Africa, the piped gas industry in Southern Africa is undergoing rapid expansion, says the Southern African Gas Association (Saga). In November... 

Nersa confirms appeal of court’s RCA judgment

By: Terence Creamer     25th August 2016 The National Energy Regulator of South Africa (Nersa) confirmed on Thursday that it would appeal the August 16 North Gauteng High Court judgment setting aside its approval of Eskom’s third multiyear price determination (MYPD3) Regulatory Clearing Account (RCA) adjustment for the 2013/14 financial... 

Nersa confirms appeal of court’s RCA judgment

Nersa committee recommends that RCA judgment be appealed 

By: Terence Creamer     24th August 2016 The National Energy Regulator of South Africa’s (Nersa’s) electricity subcommittee will recommend that the Energy Regulator, which meets on Thursday, appeal the recent High Court judgment setting aside its Regulatory Clearing Account (RCA) determination, which enabled Eskom to increase its tariff... 

Nersa committee recommends that RCA judgment be appealed
Photo by Duane Daws
Nersa’s Thembani Bukula

Business chamber: court victory over electricity-tariff increases a gain for entire country

By: Megan van Wyngaardt     19th August 2016 The Nelson Mandela Bay Business Chamber says the North Gauteng High Court’s ruling to set aside the 9.4% tariff hike granted to Eskom under a Regulatory Clearing Account (RCA) application is a “massive win” for businesses and all electricity consumers. The chamber on Friday said its argument that... 

Outa investigating possibility of class action against Eskom

By: Samantha Herbst     18th August 2016 The Organisation Undoing Tax Abuse (Outa) will be engaging with various experts to assess the viability of a class action law suit against State-owned Eskom, on behalf of the public, to recoup amounts unlawfully charged by the power utility. This follows the North Gauteng High Court’s decision to... 

Outa investigating possibility of class action against Eskom

Editorial: Nersa judgment epitomises rise in civil society vigilance

By: Terence Creamer     17th August 2016 In all spheres of South African public life, the level of civil-society engagement and vigilance is rising. Increasingly, too, citizens are not merely tackling issues at the level of principle, but are also taking into account the minutiae of procedural fairness, executive responsibility and... 

Editorial: Nersa judgment epitomises rise in civil society vigilance

Eskom can cut off your power, but must be fair – Madonsela

By: News24Wire      16th August 2016 Eskom does have the right to disconnect electricity when tampering is suspected, but it must be done in a reasonable, lawful and procedurally fair manner. That is essence of the Public Protector’s provisional report titled, “Who tampered?”, which has been leaked to the media before its final... 

Eskom can cut off your power, but must be fair – Madonsela

Eskom, CSIR to tackle security threats at substations 

By: Megan van Wyngaardt     2nd August 2016 The Council for Scientific and Industrial Research (CSIR) and State-owned Eskom have signed an agreement that formalises interaction between the organisations in the security domain, by establishing a standing security subcommittee to identify and deal with security risks. The electricity... 

Eskom, CSIR to tackle security threats at substations

New steel chief seeks dialogue on power-tariff risks

By: Terence Creamer     29th July 2016 New ArcelorMittal South Africa (AMSA) CEO Wim de Klerk views the prospect of ongoing electricity tariff increases as among his chief anxieties as he settles in at a company that is edging towards recovery, having not shown a profit since 2010. Addressing shareholders for the first time on Friday,... 

New steel chief seeks dialogue on power-tariff risks

Energy Minister cracks down on CEF governance

By: Megan van Wyngaardt     27th July 2016 The Central Energy Fund (CEF) board will review its governance processes, as well as its turnaround strategies for the subsidiaries in the group, after Energy Minister Tina Joemat-Pettersson raised concerns around the recent lapses in governance in the group. At a meeting held earlier this month... 

Eskom’s letter causes uncertainty for IPPs 

27th July 2016 Creamer Media's Chanel de Bruyn speaks to Engineering News Editor Terence Creamer about the fallout of Eskom’s indications that it will not sign further contracts with independent power producers until it has had further consultations with the Energy Minister. 

Eskom’s letter causes uncertainty for IPPs
Eskom’s letter causes uncertainty for IPPs

Eskom’s IPP stance seen undermining investment and green industrialisation 

By: Terence Creamer     22nd July 2016 The decision by Eskom not to sign any new power purchase agreements (PPAs) with independent power producers (IPPs) beyond those selected in the latest competitive bidding round could have a “chilling” effect on investment and undermine industrialisation efforts under way in the green economy,... 

Eskom’s IPP stance seen undermining investment and green industrialisation

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