Eskom welcomes Nersa issuing transmission licence to NTSCA

Jan

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Major win for Eskom's split into three companies

The National Energy Regulator of South Africa (Nersa) has issued a licence for the National Transmission Company South Africa (NTCSA) to operate the country's transmission system.

Eskom welcomed the decision in a statement on Monday, 31 July 2023, and it marks a major victory for the power utility's split into three entities — Generation, Distribution, and Transmission.
 
What would the difference be between Transmission and Distribution that it would justify having them run separately?
 
Here comes the interesting tariffs, service fees, access charges, capacity charges, availability charges etc.etc.
That sounds like distribution, where municipalities are already milking it...
 
3 x CEO
3 x CFO
3 x COO

more slots at the trough
Not necessarily, if you remove transmission from Eskom there is no need to have a head of Transmission in Eskom, by default if the transmission company starts working tomorrow the current managing executive will be the CEO, same with generation and distribution.

So it is not a given that there will be a duplication of positions, in fact there will be some restructuring that might result in a leaner executive structure, as we have seen with the COO position being made redundant.
 
Not necessarily, if you remove transmission from Eskom there is no need to have a head of Transmission in Eskom, by default if the transmission company starts working tomorrow the current managing executive will be the CEO, same with generation and distribution.

So it is not a given that there will be a duplication of positions, in fact there will be some restructuring that might result in a leaner executive structure, as we have seen with the COO position being made redundant.
So no transmission liaison department then? /s
 
I doubt more components and entities will result in cheaper tariffs - just more to milk.
If done right this could improve efficiency and result in the head count reduction everyone has been calling for.

Municipalities already do distribution. In cases where Eskom does it directly, the new distribution entity will do it. Transmission will be done by this new company who will effectively also manage the grid and it's capacity. Eskom as we know it would just do generation and compete with IPPs...
 
If done right this could improve efficiency and result in the head count reduction everyone has been calling for.

Municipalities already do distribution. In cases where Eskom does it directly, the distribution entity will do it. Transmission will be done by the new company who will effectively also manage the grid and it's capacity. Eskom as we know it would just do generation and compete with IPPs...
I admire your optimism. Time will tell.
 
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