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South Africa Allows More Private Power Generation to Ease Crisis

By Bloomberg 10 June 2021
Caption
Rain droplets cover solar panels installed on the roof of a residential property in Johannesburg, South Africa, on Friday, Mar. 13, 2020. The coronavirus lockdown will cause the biggest drop in energy demand in history, with only renewables managing to increase output through the crisis. Photographer: Waldo Swiegers/Bloomberg

(Bloomberg) --South Africa’s government will allow private investors and companies to build their own power plants with up to 100 megawatts of generating capacity without a licence, up from a previous limit of 1 megawatt.

By Mike Cohen and Paul Vecchiatto
Jun 10, 2021, 1:01 PM
Word Count: 132

The change will help address crippling energy shortages that are seen as the greatest impediment to efforts to revive an economy battered by the coronavirus, President Cyril Ramaphosa said in on online briefing on Thursday. Projects will still require the necessary permits, which will be much quicker to secure, he said.

Obtaining licenses to build power plants for self-generation has been slow and cumbersome and mining companies and other power-intensive industries have been lobbying for the cap to be raised. Mineral Resources and Energy Minister Gwede Mantashe has previously proposed that the limit be lifted to 10 megawatts.

© 2021 Bloomberg L.P.

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