Free Market Foundation calls for electricity generation licences to be abolished

[B-1]

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/

That is a very niche market though. Only heavy industry and mining will typically do that.

Municipalities and eskom can't buy electricity from an IPP directly and sell it to their customers. Nor can a IPP sell to individuals on the eskom or municipal grid NIR can they build their own grid.

 

[MrPB]

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.

There is nothing like Eskom can't be saved. Eskom can be saved. You just need people who are dedicated and think about the country rather than themselves. You need power station management that is serious about getting rid of all those who are there to enrich themselves. Management needs to have vision of what they want to achieve in short space of time and long them, and also strategy on how to achieve. The Technical plant manager must have full control of achieving Generation operating philosophy of 75:15:10 and support from all. 80% of station problems are maintenance related (Outages and normal day to day). The 20% requires Engineering to engineer those challenges out. If Maintenance can up their game and reduce or eliminate 80%, the station performance (EAF) will increase to around 80%. Engineering can fine tune the remaining 20% without implementing high cost project but Optimize the process. Today I can take one worst performing station, within 6 months you can see the difference, you just need to know where to start and what to do to get results. I repeat, there is nothing wrong with Eskom. I am just worried about number if people that will lose jobs, adding to high unemployment rate. Those people who are calling for Eskom to be dismantled are the people who are worried about their interests being threatened by existence of Eskom. I don't condone the corruption that is happening in the organization but it can be stopped if station management become willing participants to stop it. FORWARD WITH EXISTENCE OF Eskom, FORWARD!!!!!

 

[grok]

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.

Communism 101, control something the people need then ration it out to maintain control.

 

[BeerIsNotGood...]

Communism 101, control something the people need then ration it out to maintain control.

De Public Goods

 

[KleinBoontjie]

by top economists, like Efficient Group’s Dawie Roodt,

Then Nostradamus must've also been an economist.
Imagine Nostradamus and Dan Brown coming together to write an article. Well, just read BT articles and you get my drift.

 

[mypetcow]

The four horsemen of the apocalypse: Ted Blom, Chris Yelland, Dawie Roodt and Gwede Mantashe…

 

[Kosmik]

Nothing against licensing and regulating but open it up.

 

[Alkern]

There is nothing like Eskom can't be saved. Eskom can be saved. You just need people who are dedicated and think about the country rather than themselves. You need power station management that is serious about getting rid of all those who are there to enrich themselves. Management needs to have vision of what they want to achieve in short space of time and long them, and also strategy on how to achieve. The Technical plant manager must have full control of achieving Generation operating philosophy of 75:15:10 and support from all. 80% of station problems are maintenance related (Outages and normal day to day). The 20% requires Engineering to engineer those challenges out. If Maintenance can up their game and reduce or eliminate 80%, the station performance (EAF) will increase to around 80%. Engineering can fine tune the remaining 20% without implementing high cost project but Optimize the process. Today I can take one worst performing station, within 6 months you can see the difference, you just need to know where to start and what to do to get results. I repeat, there is nothing wrong with Eskom. I am just worried about number if people that will lose jobs, adding to high unemployment rate. Those people who are calling for Eskom to be dismantled are the people who are worried about their interests being threatened by existence of Eskom. I don't condone the corruption that is happening in the organization but it can be stopped if station management become willing participants to stop it. FORWARD WITH EXISTENCE OF Eskom, FORWARD!!!!!

Yes. You have the answer. We know the answer. At some point you have to admit that having and knowing are too far away from achieving. There is no political will power to enforce and follow through. If we manage to catch and lock away enough of the criminals working at Eskom, then maybe, just maybe it will survive.

 

[mypetcow]

That is a very niche market though. Only heavy industry and mining will typically do that.

Municipalities and eskom can't buy electricity from an IPP directly and sell it to their customers. Nor can a IPP sell to individuals on the eskom or municipal grid NIR can they build their own grid.

Privately owned Kelvin Power Station in Kempton Park with a nice City Power PPA would disagree…

 

[j4ck455]

I'm fairly sure the word is poesklap.

 

[SteppaZA]

I thought the word would be

Poepstorm

 

[Moto Guzzi]

Have you seen how people drive in other 4th World countries, all over the place, if you can stay upright on a scooter you go, like cattle into kraals to be slaughtered, thats where we eventually headed saturated in laws, rules and regulations.

I heard this morning on the radio, wait......how a BANK tells farmers how to farm in detailed suggestions which sounded EU-ish. Now as a listener, where is the farmers own scientists and knowledgables which actually understand on the ground what is going on-?

There are multiple examples today of the wrong crowd giving advice to the crowds that bring life in the 1st place.

Something seriously went wrong in 1992........And all this drivel is related to that.

 

["D"]

Eskom crisis can be solved with one word

So the FMF stated that is was TWO WORDS but our very own sleuth, the incomparable @Jan, exposed the FMF for not utilising their powers of deduction - for it is, indeed, ONE WORD!

Hopefully RPM will now make sure that @Jan gets a Christmas Bonus Delivery guarantee, and that he gets it early.

 

[My_King]

"the electricity crisis is due to Eskom being the sole buyer and seller of electricity in South Africa"

They have some evidence of this?

 

[Vrotappel]

The four horsemen of the apocalypse: Ted Blom, Chris Yelland, Dawie Roodt and Gwede Mantashe…

What they have been predicting for years is coming true. We don't have electricity for a third of the time now.

 

[Vrotappel]

"the electricity crisis is due to Eskom being the sole buyer and seller of electricity in South Africa"

They have some evidence of this?

Competition will definitely improve things.

 

[My_King]

Competition will definitely improve things.

Depends on cadre involvement

 

[mypetcow]

Competition will definitely improve things.

Sure. Get ready to pay R10/kWh
Which private company is going to offer electricity at a cheap rate if you can squeeze more out of the customers at the market? Hahahaha …. Companies that are supposed to turn a profit? Keep dreaming.

As an aside…I don’t see any petroleum companies offering unleaded for R12.99 out of the goodness of their heart. They’ll charge whatever you’re willing to pay…and that’s R20+/l

 

[PsyWulf]

Sure. Get ready to pay R10/kWh
Which private company is going to offer electricity at a cheap rate if you can squeeze more out of the customers at the market? Hahahaha …. Companies that are supposed to turn a profit? Keep dreaming.

As an aside…I don’t see any petroleum companies offering unleaded for R12.99 out of the goodness of their heart. They’ll charge whatever you’re willing to pay…and that’s R20+/l

To be more accurate, petrol price is also regulated so everybody charges the same

You're probably meaning Diesel where you can find some brands and stations offering discount deals or bonuses like extra goodies while buying diesel - benefits of unregulated competition