The announcement by the Minister of Mineral Resources and Energy giving the National Energy Regulator of South Africa (Nersa) the green light to begin processing applications for self-generation facilities of above 1MW has been widely applauded – none less so than by Agri SA.
The approval means that prospective applicants are no longer required to obtain ministerial approval for deviation from the IRP 2019 before applying to Nersa for a licence. “This bodes well for the agricultural sector as farmers will now be able to put up renewable energy sources above 1MW,” says a spokesperson for the organisation.
“The approval also makes provision for wheeling arrangements - and with the removal of regulatory and administrative constraints, an opportunity presents itself for Eskom to adjust its internal processes to accommodate the latest development.
“Given the electricity constraints faced by the country, we are of the opinion that this is a positive stride towards alleviating pressure from Eskom, as independent producers enter the market”
Now it’s a question of timeous processing of licensing applications to ensure security of supply.