- The previous licence permitted the entity to operate the national grid but not the right to buy, import, or export electricity.
- The trading and import/export licences application process targets completion by November 2023.
The National Energy Regulator of South Africa (Nersa) has approved two important licences to be issued to the National Transmission Company of South Africa (NTSCA). Nersa approved the NTCSA’s electricity trading and import and export licences. Nersa disclosed this in a statement on the outcomes of its special meeting. These licenses pave the way for expanding the country’s grid capacity.
The National Transmission Company of South Africa is a spin-off of Eskom’s transmission division. In July 2023, Nersa granted only a facilities licence to NTSCA. That licence permitted the entity to operate the national grid but not the right to buy, import, or export electricity.
During that period, the presidency expressed concern over Nersa’s delay in granting the trading and import/export licences needed to allow NTCSA to carry out its full mandate. The managing director of NTCSA and head of Eskom transmission, Segomoco Scheppers, described the delay as a minor administrative issue.
According to Nersa, Eskom had bundled the three licence applications together, but the outstanding ones did not align with the definitions of their functions in the Electricity Regulation Act (ERA). Nersa’s full-time member for electricity, Nhlanhla Gumede, said the trading and import/export licences application process targets completion by November 2023.