The National Electricity Regulator of South Africa (Nersa) has approved a trading licence for the National Transmission Company of South Africa Ltd (NTCSA). The trading licence gives the Transmission Company the ability to buy and sell electricity as a commercial activity. The NTCSA applied for a trading licence to buy and sell electricity from Eskom power stations and independent power producers (IPPs) under section 34 determinations, including cross-border electricity imports and IPP generators under the Eskom Holdings programmes, such as short-term power purchases only to Eskom Distribution exclusively. The term of the NTCSA’s trading licence will be five years as a transitional arrangement to allow for transition from the exclusive trading arrangement and incorporation of changes that may emanate from the Electricity Regulation Act amendment and price review processes. This will enable the energy Regulator to review the licence conditions after five years.
