Private firm withdraws case opposing Eskom’s new grid rules
South African power project developer G7 Renewable Energies withdrew a case opposing new rules governing the connection of power plants to the national electricity grid after adjustments were made on how they would be implemented.
The company brought the case against state-owned utility Eskom in July, arguing that interim rules that were adopted to make the process of getting access to the grid more equitable would actually hinder new operators.
G7 previously said Eskom’s new laws would determine applications for grid access in accordance with rules which have been adopted in a manner that is unlawful, unreasonable and irrational.
The rules will also “compel applicants for access to undertake procedures which are onerous and prejudicial,” G7 Chief Executive Officer Kilian Hagemann said.
However, Industry discussions that followed helped to resolve issues around the new protocol, according to G7.
“These engagements have resulted in an adjustment to the manner in which the Interim Grid Capacity Allocation Rules will be implemented and have provided much-needed clarity to the process,” the company said Thursday in a statement.
Eskom is struggling to meet electricity demand, resulting in almost daily power cuts that curb economic growth. Private generation projects that could relieve pressure on the system have been sidelined, in part because of a lack of connections to the grid.
The utility said it wasn’t immediately able to comment.