Generator licensing and registration

As an independent power producer, you are required to comply with Schedule 2 (GazetteNo 43151)  of the Electricity Regulation Act which stipulates the requirements for generator licensing and registration or, exemption from registration, for your generation facility. A generation facility means the generation- and/or distribution facility located on your property and this will include all machinery, equipment, associated buildings and structures.

The following are guidelines, however you are advised to confirm with the National Energy Regulator of South Africa (NERSA) regarding your generator licensing and registration requirements.

Generators exempted from licensing and registration with NERSA:

  • Your generator is utilised for private use only, as a back-up source of electricity, in the case of a power outage. 
  • Your generator does not have a point of connection to the distribution network.
  • Your generator, of no more than 100 kW, is connected to the grid and the electricity is for your own use only (not supplying other customers).
However, if your generator is connected to the grid, you will have to apply for a grid connection, pay the quoted fees, and sign the required Eskom agreements

Generators requiring registration:

  • Your generator has a maximum capacity of 1 MW.
  • Your generator has a point of connection (whether you are exporting energy into the grid or not).
  • Your generator supplies electricity to a customer or related customer(s), even 100 kW and below.
  • Your generator is used for demonstration purposes only, for a maximum period of 36 months.
  • Your generator produces electricity from waste, or industrial residues.
  • Your generator was exempt from licensing prior to the amendment on 26 March of schedule 2 of the Electricity Regulation Act.
  • NERSA will require information from us to ensure that a grid connection is possible. You will have to apply to become grid-tied, pay the quoted fees, and sign the required Eskom agreements.

Generators requiring licensing:

  • Any generator with a capacity above 1 MW.
  • Any generator, irrespective of size, supplying electricity to more than one non-related customer.

Exceptions:

  • A generator above 1 MW used for demonstration purposes only, for a maximum period of 36 months.
  • A generator producing electricity from waste heat.
Visit Nersa for more information

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