Ramaphosa gives South Africa’s electricity minister new powers to take on load shedding
Almost three months after appointing him to the role, president Cyril Ramaphosa has finally granted electricity minister Kgosientsho Ramokgopa executive powers to do his assigned job.
Ramaphosa has, in terms of Section 97 of the Constitution, signed a proclamation that transfers to the Minister of Electricity certain powers and functions entrusted by the Electricity Regulation Act.
Broadly, the role now has the power to direct the procurement of new generation capacity and ensure security of supply.
Ramaphosa appointed Ramokgopa as the country’s new electricity minister in March 2023. The minister is solely tasked with bringing the country’s power crisis to an end. However, he has, until now, not held any executive authority to do anything to meet this goal.
Ramokgopa will now have all the powers and functions contained in Section 34(1) of the Electricity Regulation Act – powers which were previously entrusted to the Minister of Mineral Resources and Energy, Gwede Mantashe.
The President has also transferred to the Minister of Electricity relevant powers and functions set out in Section 34(2) of the Electricity Regulation Act.
Section 34 of the Act deals with new generation capacity and provides as follows:
- (1) The Minister may, in consultation with the Regulator –
- (a) determine that new generation capacity is needed to ensure the continued uninterrupted supply of electricity;
- (b) determine the types of energy sources from which electricity must be generated, and the percentages of electricity that must be generated from such sources;
- (c) determine that electricity thus produced may only be sold to the persons or in the manner set out in such notice;
- (d) determine that electricity thus produced must be purchased by the persons set out in such notice;
- (e) require that new generation capacity must –
- (i) be established through a tendering procedure which is fair, equitable, transparent, competitive and cost-effective;
- (ii) provide for private sector participation.
“Other powers and functions contained in the Electricity Regulation Act – including those related to the implementation of determinations made in terms of section 34 – will remain with the Minister of Mineral Resources and Energy,” the presidency said.
In line with Ramaphosa’s State of the Nation Address, the Minister of Electricity will oversee all aspects of the electricity crisis response, including the work of the National Energy Crisis Committee (Necom).
“This will provide a single point of command for the government’s efforts to close the shortfall in electricity supply,” the presidency said.
“The minister will work full-time with the Eskom board and management to end load-shedding and ensure that the Energy Action Plan announced by the President is implemented without delay.”
Three-way split
With the transfer of powers to Ramokgopa, Eskom now has three overlords, with Energy and Mineral Resources Minister Gwede Mantashe and Public Enterprises Minister Pravin Gordhan still having a hand involved.
Mantashe is in charge of the energy portfolio in general and has control over mining, coal and diesel policy, which is vital to Eskom’s operations. His procurement powers have shifted to Ramokgopa.
Gordhan, meanwhile, is in charge of select state companies, including Eskom, and oversees the operational and administrative processes of these groups as well as serving as the government’s representative on their boards.
On top of three ministers directly involved, Eskom and the prevailing power emergency also has other ministers on the fringes that play a role – including finance minister Enoch Godongwana who is pulling on the purse strings, as well as environment minister Babara Creecy, whose department is involved in other permissions and exemptions related to energy production.
The procurement aspect of Ramokgopa’s powers is notable, as he has been a vocal proponent of extending South Africa’s use of coal.
Read: Environment minister backs Ramokgopa’s plan to cut load shedding
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