No power-saving penalties for 2010 stadiums, Gautrain

Posted On Wednesday, 17 December 2008 02:00 Published by eProp Commercial Property News
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Nersa says it has excluded the construction of stadiums for the 2010 World Cup and Gautrain from penalties that are part of the power conservation programme.

2010The National Energy Regulator of SA (Nersa) said it had excluded national priority projects such as the construction of stadiums for the 2010 World Cup and Gautrain from penalties that are part of the power conservation programme.

A key feature of the conservation programme is the mandatory energy conservation scheme that will see the country’s biggest electricity consumers who fail to meet set electricity saving targets face sanctions. Given their size, several of the country’s major infrastructure projects use a substantial amount of electricity.

In a recently released consultation paper on the power conservation programme, Nersa said the energy conservation scheme would be phased in to targeted customers “starting with the largest customers, namely those who consume more than 25GWh per annum, while energy efficiency and demand-side management services will be rolled out concurrently to the rest of the customer base”.

But Nersa said the rules would not affect national priority projects such as the construction of new power stations, stadiums in preparation for the 2010 World Cup and Gautrain. Also excluded from the rules were essential services such as the police, health establishments, public rail transportation services, supplies of water and sanitation to the public, and public lighting and traffic lights.

The government introduced the power conservation programme as an immediate intervention at the height of the power supply shortages in January. The programme is central to the government’s efforts to lower electricity demand as SA struggles with a relatively low reserve margin — the difference between installed capacity and peak demand.

In the consultation paper, Nersa said the reduction in electricity consumption would give Eskom the “breathing space” needed during maintenance of power stations. SA’s reserve margin is less than 10% and Eskom aspires to at least 15%.

Nersa said the conservation scheme would “incentivise” customers to reduce their consumption by charging them more if they exceeded their monthly energy allocation. The monthly energy allocation would be based on a total annual energy allocation, the amount of energy a customer can consume in a year.

Nersa has developed three transgression levels for consumers who consume in excess of their monthly energy allocation. A customer who consumes in excess of 1%-2,5% of the monthly allocation would fall in the control band. The excess charge for customers in this band would be R2,80 a kWh.

According to Nersa’s timelines for the approval of the conservation rules, a second draft of the paper will be published in February, with a public hearing scheduled for early April. Nersa said it would make a decision on the matter at the end of April.

 

Last modified on Friday, 01 November 2013 07:15

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