HomeIndustry SectorsFinance and PolicyANC empowers municipalities to buy their own electricity

ANC empowers municipalities to buy their own electricity

South Africa’s governing political party, the African National Congress (ANC), has approved plans to allow municipalities to buy their own electricity as well as the expansion of the current Independent Power Producer (IPP) programme.

According to the Business Day, this was tabled in a report, from the commission on state-owned enterprises (SOEs) and the economic growth strategy at the party’s two-day lekgotla, which ended on Monday.

Additionally, the report endorses plans to ease the regulation of businesses to generate their own power.

Also read: Wind sector supports the approach to relook at SA’s energy market

This development comes as the national power utility, Eskom, is struggling to avoid loadshedding.

Business Insider reported that Eskom spends as much as R27 to buy one kilowatt-hour (kWh) of electricity from private diesel turbines to keep lights on, while the average selling price is roughly R1 per kWh.

Read more on:
IPPs will not collapse Eskom, says President Ramaphosa

Measuring embedded generation opportunities for municipalities

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Babalwa Bungane
Babalwa Bungane is the content producer for ESI Africa - Clarion Events Africa. Babalwa has been writing for the publication for over five years. She also contributes to sister publications; Smart Energy International and Power Engineering International. Babalwa is a social media enthusiast.

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