Ramaphosa said it is vital to increase the country’s power generation capacity, referring to the recently
gazetted determinations that will allow for more than 11,800MW of power to be procured from IPPs.
“This signals government’s clear intention to move ahead with one of the key reforms that are needed to unlock the growth of our economy and attract much-needed investment,” he said.
“This new energy will be procured from diverse sources, including solar, wind, gas, coal, and storage.”
He said new generation projects that can be connected to the grid as soon as possible will be prioritised and the next step will be to initiate procurement bidding windows, including opening Bid Window 5 of the renewable energy IPP programme.
Self-generation licensing requirements for facilities under 1MW have been removed, and to date 156 self-generation facilities under 1MW have been registered.
“For facilities that can generate above 1 megawatt, the National Energy Regulator of South Africa is improving its licensing processes to improve turnaround time,” he said.
“Further work is being undertaken to reform the regulatory environment to ensure that we make fuller use of the great potential in this country for self-generation among commercial and industrial users.”
He said that new regulations will soon be gazetted which will allow municipalities to buy their own electricity from IPPs.
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