NERSA clarifies registration requirements for small-scale embedded generation

• Registration requirements depend on grid connection and installed capacity, not on whether power is exported.
• Systems connected to the grid must be registered with distributors or NERSA depending on size.
• Off grid installations remain exempt from registration.

NERSA said the clarification is intended to prevent confusion among electricity consumers, installers and other stakeholders, and to ensure a clear understanding of the legal framework governing embedded generation in South Africa.

In terms of the Electricity Regulation Act of 2006 as amended, read together with the Exemption and Registration Notice, the obligation to register an embedded generation facility is determined by two factors only. These are whether the installation has a point of connection to the electricity grid and its installed capacity. The regulator stressed that registration is not determined by whether electricity is exported to the grid or consumed on site.

NERSA explained that small scale embedded generation facilities with an installed capacity of 100 kilowatts or less and that are connected to the electricity grid are required to register with the relevant distributor. This would be Eskom or the applicable licensed municipality. Embedded generation facilities with an installed capacity above 100 kilowatts and a point of connection to the grid must register directly with NERSA.

Installations that do not have a point of connection to the electricity grid are exempt from registration requirements.

According to the regulator, these rules are in place to support the safe, reliable and efficient operation of the national electricity system. Registration enables compliance with technical standards, informed system planning and effective network protection. NERSA noted that while a Certificate of Compliance confirms electrical safety, registration serves a separate regulatory function and does not duplicate safety certification.

NERSA emphasised that the registration process is not intended to discourage the adoption of renewable energy technologies. Instead, it is designed to ensure that embedded generation is integrated in a way that protects the integrity of the electricity network and the interests of all electricity users.

The regulator reaffirmed its commitment to supporting South Africa’s transition to a more diverse and sustainable electricity supply within the existing legislative and regulatory framework. Stakeholders are encouraged to engage directly with their licenced distributors or with NERSA to obtain accurate guidance on registration requirements.