Electricity Minister Kgosientsho Ramokgopa has unveiled a new wheeling framework aimed at enabling third-party energy generators to use South Africa’s national electricity grid to deliver power to consumers. While the concept of wheeling is not new, this framework introduces standardised rules that allow third-party transactions both in and out of municipal supply areas.
Hilton Trollip, an independent energy expert, welcomed the development, saying: “It is not new, but in fact, the government is starting to implement what looks like the energy policy white paper from 1998. Essentially, Eskom’s monopoly on generation and grid use is starting to change.”
He explained that South Africa has long sought to align with global best practices by opening up the grid to independent generators who can deliver reliable power. “We’ve wanted the grid to be a national asset, like our road network,” Trollip added.
He used a transport analogy to illustrate the significance of the change: “Imagine if one organisation decided for years who could use the road and only allowed itself access. That’s what has happened with the grid. This framework changes that.”
Under the amended Electricity Regulation Act, the framework affirms the rights of independent generators and customers to transact electricity over the grid. This marks a significant step toward energy reform in South Africa, promoting competition, energy security, and investment in the power sector.
The framework is expected to enhance reliability and efficiency while fostering a more inclusive and diversified electricity market.
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