Free Market Foundation calls for electricity generation licences to be abolished

[Jan]

Eskom crisis can be solved with one word

The Free Market Foundation has proposed a simple change to the Electricity Regulation Act it says would be a game changer in solving the electricity shortage in South Africa.

The organisation said the electricity crisis is due to Eskom being the sole buyer and seller of electricity in South Africa.

 

[TelkomUseless]

Didn't we have this article just a week or two ago?

And once again.. Free Market goes against ANC principals.

 

[3WA]

No person may, without a license issued by the Regulator in accordance with this Act-
(a) operate any generation, transmission or distribution facility;
(b) import or export any electricity; or
(c) be involved in trading.

The Free Market Foundation (FMF) argues that South Africa’s electricity challenges are due to two words in the Act – no person.

Changing “no person” to “every person”, the FMF said, will open the supply of energy in South Africa and solve its energy crisis.

If this happened, my neighbourhood would go up in smoke instantly as some idiot tried to build their own nuclear plant.

 

[Gazg]

Blah blah blah ain't gonna happen.

Next Eskom article.

 

[deweyzeph]

Dream on. The ANC will never loosen its grip on the monopoly of electricity provision. Everyone, including them, knows that deregulation is the solution to the problem, but they have zero political will to make it happen. They would rather the entire country is plunged into darkness than lose an important political lever like the monopoly on electricity provision.

 

[rvZA]

Here are the facts everyone should know and understand.

The ANC is a power-hungry, money-hungry criminal organization that took over the country. They have virtually nationalized all private companies in South Africa under the guise of 'Regulation' and crazy laws. They will never, ever allow this and lose out on this money. This is simply never going to happen.

The ANC is not an honest legitimate organization that will stand down and allow another party to save the country. They will rather be happy to see the country ran into the ground and still keep power over what is left.

 

[noxibox]

If this happened, my neighbourhood would go up in smoke instantly as some idiot tried to build their own nuclear plant.

There has to be some regulation. A free for all would be disastrous.

And once again.. Free Market goes against ANC principals.

They've embraced the free market many times. They won't go for a free for all market though.

 

[PsyWulf]

If this happened, my neighbourhood would go up in smoke instantly as some idiot tried to build their own nuclear plant.

Make the best of it,sell tours to Brakpanobyl

 

[Snyper564]

have about 20kw a day in summer that goes to waste - after all it all adds up

 

[deweyzeph]

Here are the facts everyone should know and understand.

The ANC is a power-hungry, money-hungry criminal organization that took over the country. They have virtually nationalized all private companies in South Africa under the guise of 'Regulation' and crazy laws. They will never, ever allow this and lose out on this money. This is simply never going to happen.

The ANC is not an honest legitimate organization that will stand down and allow another party to save the country. They will rather be happy to see the country ran into the ground and still keep power over what is left.

It's not even about money, it's about control. If you control electricity you control the population, especially the poor who have no other option but to buy their electricity from Eskom. Bringing electricity to previously unelectrified regions is one of the ANC's most successful (by their low standards) achievements. The current situation we find ourselves is all about politics.

 

[deweyzeph]

There has to be some regulation. A free for all would be disastrous.

There should be regulations around safety and standards, but not licensing. Anyone who can should be allowed to produce and transmit electricity without rent-seeking licensing requirements as long as they follow the relevant safety and standards regulations.

 

[3WA]

There has to be some regulation. A free for all would be disastrous.

Absolutely. As bad as our government is at regulation, someone has to ensure that power generation doesn't contaminate water, blow up neighbourhoods, etc. Allowing any jackass to erect cables for distribution is also not a great idea.

 

[deweyzeph]

Absolutely. As bad as our government is at regulation, someone has to ensure that power generation doesn't contaminate water, blow up neighbourhoods, etc. Allowing any jackass to erect cables for distribution is also not a great idea.

We have actually have some of the best safety regulations in the world with regard to electricity. Enforcement isn't always great, but the standards are pretty well thought through.

 

[VooDooC]

ANC would rather rule over the ashes of this country and its people than giving up on their cash cow. The Rand is currently tanking, more businesses will close down in the coming weeks/months and the silence from both Eskom and government on the current stage 5 situation is deafening.

 

[3WA]

We have actually have some of the best safety regulations in the world with regard to electricity. Enforcement isn't always great, but the standards are pretty well thought through.

Do these regulations also include generation and transmission? I'm trying to understand how we'd stop someone from, for example, building an unsafe gas turbine and connecting all the surrounding houses to it.

 

[deweyzeph]

Do these regulations also include generation and transmission? I'm trying to understand how we'd stop someone from, for example, building an unsafe gas turbine and connecting all the surrounding houses to it.

No idea, I was talking more about the safety regulations in residential and commercial buildings. Although it's a bit of a moot point at the moment because nobody is allowed to build one other than Eskom. It would be easy enough though to put together safety standards and regulations for private producers and transmitters if/when deregulation ever happens.

 

[B-1]

Do these regulations also include generation and transmission? I'm trying to understand how we'd stop someone from, for example, building an unsafe gas turbine and connecting all the surrounding houses to it.

The laws are already in place. If you build something like that you need to conform to a lot of different regulations you can't just do whatever you want.

Some farmers and industry already run their own generation and distribution and have to comply with the laws.

 

[B-1]

No idea, I was talking more about the safety regulations in residential and commercial buildings. Although it's a bit of a moot point at the moment because nobody is allowed to build one other than Eskom. It would be easy enough though to put together safety standards and regulations for private producers and transmitters if/when deregulation ever happens.

You can build a 100MW generation facility already and do your own distribution. You just can't use the Eskom/municipal infrastructure to sell that electricity to customers.

 

[mypetcow]

You can build a 100MW generation facility already and do your own distribution. You just can't use the Eskom/municipal infrastructure to sell that electricity to customers.

50% correct.

You can install up 100MW without a licence. [1]

However you can actually use Eskom/municipal infrastructure to sell that electricity to customers aka wheeling. No problem. [2]

So nobody is stopping the private sector from investing in solar and wind and selling the generated electricity to industry for whatever price they choose. Mines, manufacturing, etc. etc. Eskom even provides instructions on how to do it.

[1] https://www.gov.za/speeches/mineral...le-2-electricity-regulation-act-4-2006-13-aug

[2] https://www.eskom.co.za/distribution/tariffs-and-charges/wheeling/

 

[Cranjus McBasketball]

And that word is getridoftheanc.