06 Jan 2025
The Electricity Regulation Amendment Act will come into effect this year.
Proclamation 236 was published in Government Gazette 51778.
President Ramaphosa signed the act in August 2024.
Parliament gave the green light to the Electricity Regulation Amendment Bill and sent it to the president for assent in May 2024.
The national assembly passed the bill and sent it to the national council of provinces for concurrence in March 2024.
The bill was tabled in parliament in August 2023.
The mineral resources and energy department published the bill’s explanatory summary in Gazette 48441 in April 2023 in accordance with rule 276(1)(c) of the national assembly.
The bill was published for comment in February 2022.
Cabinet approved the publication of the bill for comment at a virtual cabinet meeting on 9 February 2022.
In a statement, cabinet pointed out that the proposed legislation broadens the national regulatory framework for the electricity supply industry.
The amendments also “align the country with the international best practice in energy and provide for the functions of a Transmission System Operator, and for a licensing framework for power generation, transmission, distribution and trading”.
Cabinet approved the proposed legislation in a meeting at the end of March 2023 for tabling in parliament.
The portfolio committee on mineral resources and energy adopted the bill with amendments.
The select committee on land reform, environment, mineral resources and energy adopted the bill without amendments.
The act, published in Gazette 51100, aims to amend the Electricity Regulation Act, 2006, so as to:
- delete, amend, and insert certain definitions;
- provide for the application of the Act;
- provide for the National Energy Regulator to consider applications for licences and the issue of licences;
- provide for revocation and deregistration of licences;
- provide for additional electricity, new generation capacity and electricity infrastructure;
- provide for the establishment, duties, powers and functions of the Transmission System Operator SOC Ltd and transitional measures;
- provide for an open market platform that allows for competitive electricity trading;
- assign the duties, powers and functions of the Transmission System Operator SOC Ltd to the National Transmission Company South Africa SOC Ltd;
- provide for delegation and assignment;
- provide for offences and penalties; and
- provide for matters connected therewith.
The act comes into effect on 1 January 2025.
However, amendments to the definitions of “reticulation” and “distribution power systems” in section 1 of the act come into operation on a date still to be determined by the president by proclamation in the Gazette.
Sabinet invites you to create a free myDiscover Profile to browse and access Sabinet content.
See also:
(This article is provided for informational purposes only and not for the purpose of providing legal advice. For more information on the topic, please contact the author/s or the relevant provider.)