Eskom simplifies solar system compliance after working with industry stakeholders – extends cost relief for small-scale embedded generation (SSEG) customers

Tuesday, 21 October 2025: Eskom has simplified the compliance and registration process for customers who generate their own electricity through Small-Scale Embedded Generation (SSEG) systems such as rooftop solar panels. The aim is to make it easier, safer, and more affordable for households and small businesses to connect legally to the national grid as required by the National Energy Regulator of South Africa (NERSA).

Eskom has been working on the SSEG framework since 2015 with industry stakeholders, including the South African Bureau of Standards (SABS), South African Photovoltaic Industry Association (SAPVIA), Association for Municipal Electricity Distributors (AMEU), National Rationalised Specifications (NRS) Standing Committee, IPP conferences, Eskom IPP stakeholder meetings, and has developed a simpler and more affordable solution for customers that still maintains a stringent focus on safety.

The major change, finalised last month and effective from 1 October 2025, is that Eskom’s residential customers may now have their systems signed off by a Department of Labour (DoL)–registered person (excluding single-phase testers), and an Engineering Council of South Africa (ECSA)-registered professional is no longer required. This follows a review of compliance and safety requirements as well as a stringent due diligence process, pending the expected changes by the South African Bureau of Standards (SABS) .

“Eskom recognises that many South Africans are eager to participate in the clean energy transition. Our goal is to make it as simple, safe, and cost-effective as possible for customers to connect legally, while ensuring the stability and safety of the national grid. We have been working hard with our industry stakeholders to remain at the leading edge of safety requirements,” says Eskom Acting Group Executive, Distribution, Agnes Mlambo.

“We encourage customers to come forward and register their systems to meet NERSA’s legal requirements. Registration not only ensures compliance and safety but also positions customers to benefit from future programmes that reward clean energy generation,” added Mlambo.

In line with NERSA regulations, all businesses and households with embedded generation systems of less than 100kVA, including solar PV systems, are required to register with Eskom (electricity licensee), even if they do not export electricity to the grid. However, customers who are fully off-grid and not connected to Eskom’s network are not required to register, provided they can demonstrate that their systems operate independently of Eskom’s supply.

As a licensed electricity distributor, Eskom ensures that all customer connections, whether for energy use or generation, comply with the technical codes, standards, and safety conditions as required by NERSA.

Background and industry alignment

Before 2019, only medium-voltage customers (above 1000V) were permitted to operate embedded generators in parallel with Eskom’s/licensee’s network. In April 2020, Eskom expanded this to include low-voltage customers, allowing residential and small business users to install SSEG systems.

In the absence of formal low-voltage regulations, the distribution industry has relied on the NRS097 standards to ensure safe and compliant installations. Initially, Eskom required systems to be signed off by an ECSA-registered professional. However, this process could be costly for some homeowners, as fees for professional sign-off vary across providers and are outside Eskom’s control.

Ongoing cost relief for customers and simplified compliance requirements

Customers said the previous process felt complicated and costly, and Eskom has responded by streamlining compliance and introducing cost relief measures so that more South Africans can participate in the clean energy transition with confidence.

• No registration or connection fees for households with solar systems up to 50kVA, until March 2026.
• Faster sign-off process: residential systems can now be certified by a Department of Labour registered person (Installation Electricians and Master Installation Electricians), and this excludes single-phase testers.
• Clear, simpler requirements: a valid Certificate of Compliance and a basic EGI test report (to be signed off by a registered person).

This means customers can save over R9 000 on connection costs for a typical 16kVA rooftop solar system. Households with solar PV systems up to 50kVA continue to be exempt from registration fees and installation of smart meter fees.

Non-residential SSEG customers will continue to benefit from the previous year’s connection charges, ensuring continued cost savings.

More ways to benefit , today and in the future

Registered customers are also well-placed to benefit from future tariff structures that make it possible to sign up for demand response products and pay less for electricity by shifting energy use to lower-cost periods.

In addition, those who export power back to the grid benefit from the NERSA-approved Homeflex tariff, which provides credits for energy exported, further improving the return on their investment.

Encouraging safe and legal integration

Eskom continues to urge all SSEG customers to register their systems to ensure safety, regulatory compliance, and access to future benefits such as energy export.

Eskom remains committed to supporting South Africa’s energy transition by enabling the safe, affordable, and compliant integration of SSEG systems. This includes ongoing work to explore solutions for prepaid connections, while ensuring the continued integrity and reliability of the national grid.

ENDS