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INDEPENDENT energy producers will now be allowed to generate up to 100 megawatts (MW) of electrical energy as a part of coping with the vitality disaster crippling the South African financial system.
On Thursday, President Cyril Ramaphosa introduced that the federal government has authorized the amendment of Schedule 2 of the Electricity Regulation Act for the vitality sector.
Ramaphosa stated the choice adopted an in depth public session and a big quantity of technical work undertaken by the Department of Mineral Resources and Energy.
He stated it might enhance the National Energy Regulator of SA’s licensing threshold for embedded technology initiatives from 1MW to 100MW.
The amended laws will exempt technology initiatives up to 100MW from the Nersa licensing requirement, whether or not or not they’re linked to the grid.
This will take away a big impediment to funding in embedded technology initiatives.
“This intervention reflects our determination to take the necessary action to achieve energy security and reduce the impact of load shedding on businesses and households across the country,” Ramaphosa stated.
“It is evidence of our intention to tackle this economic crisis head-on, by implementing major economic reforms that will transform our economy.”
Ramaphosa’s announcement comes because the financial system is grappling with blackouts after energy provider Eskom ramped up its rotational load shedding to Stage 4 yesterday due to steady breakdowns.
The business business has been calling for the federal government to enhance the edge on embedded energy technology from 1MW to 50MW.
Ramaphosa stated that was a big new step in additional reforming the electrical energy sector in direction of attaining a secure and safe provide of vitality.
“It also demonstrates our commitment as the government to listen carefully to experts, to engage closely with our social partners, and to take on board new ideas to address our long-standing challenges,” he stated.
BUSINESS REPORT ONLINE