AgriSA Consultation paper – Eskom’s grid capacity reservation and/or preservation for section 34 independent power producers

To: Provincial Affiliations | Commodity Organisations | Corporate Members
Agri SA is currently preparing a submission on Eskom’s recent application to NERSA regarding the preservation and/or reservation of grid connection capacity for section 34 Independent Power Producers (IPPs). We are seeking your valuable input and comments to ensure our submission effectively represents the interests of our members. 

NERSA received an application from Eskom in terms of section 21(2) of the Act. Eskom is seeking the Energy Regulator’s approval to preserve and/or reserve grid connection capacity in favour of public IPPs originating from ministerial section 34 determinations. This move is in anticipation of the upcoming Bid Window 7. 

This request has significant implications for our agricultural community, particularly farmers who intend to produce power for their use. Two provinces have already reached the threshold where no new applications are being considered. With Eskom’s intention to reserve the majority of the available capacity for their use, it could severely limit the ability of individual farmers to secure grid connections for their power production. 

Given the potential serious consequences for our sector, we need to present a comprehensive and robust response. Unfortunately, we are working under a tight deadline as all comments must be submitted by 25 May 2024. 

Therefore, we kindly request your input by 24 May 2024. Action requiredPlease review the details and provide your comments and input on this matter. Your insights and perspectives are crucial for our submission. We look forward to your prompt response. Thank you for your attention to this urgent matter and for your continued support.
Enquiries:Kulani Siweya, Head, Centre of Excellence: