Printed in December 2016, When the amended Electricity Regulation Act (ERA) comes into pressure, it'll regulate the use of small scale electricity turbines by requiring registration with the National Power Regulator of South Africa (Nersa).
That is based on Lizel Oberholzer and Jarrett Whitehead, attorneys at Norton Rose Fulbright, who say that the regulation will likely have far-reaching results, as private use of small scale Briefcase Solar Panel Power Generator has elevated dramatically in South Africa.
“It has been reported that personal electricity generation from Briefcase Solar Panel Power Generator alone has elevated from 35MW in 2015 to 159MW in 2016,” said Norton Rose Fulbright.
“Earlier than parliament, the Division of Power expressed concern with the loss of income that municipalities and Eskom are experiencing because of elevated private generation of energy. These considerations have been echoed by Nersa, which supported the presentation.”
In December 2016, the “Draft Licensing Exemption and Registration Notice” expresses the minister of vitality’s intention to exempt various categories of generation amenities and electrical resellers from the requirement to hold a licence underneath the ERA.
Beneath these laws, as an alternative of requiring a licence, listed actions will need to be registered with Nersa.
Presently any generation plant operated for demonstration or for ‘own use’, which isn't connected to the grid, is excluded from the licensing necessities underneath the ERA.
“The discover offers that listed generation actions, together with these beforehand exempt from licensing necessities, must be registered with Nersa,” said Norton Rose Fulbright.
“Listed actions embrace the operation of generation amenities with an put in capability of lower than 1MW (both connected and unconnected to the grid) and generation amenities for demonstration purposes and for purposes of standby or again-up electricity in the occasion of provide interruption (irrespective of generation capability).”
“In practice, this might mean that each home, farm, resort, hospital and shopping center with solar panels or diesel turbines (whether connected to the grid or not) with a capability of much less that 1MW must register with Nersa.”
Although the ERA offers that registration with Nersa must be achieved on the prescribed application form and must be accompanied by a registration payment, corresponding laws prescribing the necessities have yet to be published.
The act additionally empowers Nersa to refuse applications for registration underneath certain circumstances, together with the place an application is “contrary to the targets of the Act”.
Non-compliance with any provision of the act is a felony offence which is punishable by a fine of up to R5 million and imprisonment for up to 5 years.
“We do not know what arrangements will be provided to accommodate present off-grid electricity users, but it's hoped that such provisions will enable all affected events to register and keep away from penalties,” said Norton Rose Fulbright.
“While the total implications of the proposed modification will solely become clear as soon as candidates start trying to register with Nersa, if managed poorly, the Division of Power’s try to regain some management of off-grid vitality generation could severely affect many people.”
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