- The National Energy Regulator of South Africa (NERSA) announced today that it has successfully registered 143 generation facilities during the third quarter of the 2024/25 financial year.
- These new facilities contribute a total capacity of 1,107 MW, representing a notable investment value of R23.18 billion.
The average investment cost for this quarter stands at R22,371 per kW, reflecting the unwavering commitment to expanding South Africaโs energy generation capacity.
The Western Cape, Gauteng and North West provinces are leading in the new registered facilities, indicating the diverse geographical interest in energy generation. However, when considering the total installed capacity and investment cost, Limpopo, Free State and Gauteng emerge as the top three provinces. Notably, the Limpopo Province recorded the highest investment cost for the quarter, amounting to a staggering R13.5 billion, with an installed capacity of 627 MW. This significant investment underscores the provinceโs pivotal role in the countryโs energy landscape.
Among the 143 new registrations, one facility has been registered for commercial purposes, featuring a capacity of 60 MW and an investment cost of R1.2 billion. This reflects the ongoing transition towards commercial energy generation in South Africa. The most favoured technology during this period was solar photovoltaic (PV), attributed to South Africaโs abundant sunlight, which is conducive for both small-scale and large-scale generation. Table 1 below provides details of the registered facilities.
A total of 82 registered generation facilities with a capacity of 1 058.1 MW and investments costs of R22.47 billion are connected to Eskom distribution. The registered generation facilities connected to municipal distribution networks are 61, with a capacity of 48.9 MW and investments costs of R711 million.
Since the inception of the registration regime, NERSA has registered a total of 1 811 generation facilities, culminating in a notable total capacity of 10 550 MW. This growth is a testament to the effectiveness of the regulatory framework in facilitating energy generation capacity. During the third quarter, NERSA processed applications within an average of 14 working days, demonstrating its commitment to efficiency and responsiveness in the registration process. Table 2 below provides the number of registered facilities per year.
โNERSA is proud to have facilitated the connection of over 10 GW of new generation capacity through its registration process, attracting a total investment of over R200 billion. Additionally, NERSA has significantly improved its efficiency, registering generation facilities within 14 days, well ahead of the legislated 30-day requirementโ, said Ms Nomfundo Maseti, Acting Regulator Member for Electricity Regulation.
Author: Bryan Groenendaal