The National Energy Regulator of South Africa (NERSA) has welcomed the decision to amend Schedule 2 of the Electricity Regulation Act, 2006 (Act No. 4 of 2006), to exempt generation facilities up to 100MW from the licensing requirement.

President Cyril Ramaphosa announced on Thursday that the regulation will be amended in an effort to resolve the country’s energy supply shortfall and reduce the risk of load shedding.

“The exemption is aimed at achieving energy security, and reducing the impact of load shedding on businesses and households across the country.

“The exemption includes generation projects connected to the grid, as well as those not connected to the grid. However, the generation facilities will still be required to apply to NERSA for registration to ensure that they meet all the requirements,” NERSA said on Friday.

NERSA said it will await the gazetted Schedule 2 of the Electricity Regulation Act, 2006, from the Department of Mineral Resources and Energy for implementation.

“Any material changes necessitated by the amended Schedule 2 will be communicated in due course,” NERSA said.

The Department of Mineral Resources and Energy is expected to publish the final version of the amendment to Schedule 2 within the next 60 days or sooner.

Source: South African Government News Agency