Blu Label lands energy trading licence from Nersa - Mark Levy — Blu Label co-CEO Mark Levy

BluEnergy Trading, a subsidiary of JSE-listed Blu Label Unlimited Group, has been granted a multi-year energy trading licence by energy regulator Nersa, allowing it to buy and sell power.

The licence positions the prepaid airtime and payments group, which is also the largest shareholder in mobile operator Cell C, to enter South Africa’s electricity market, connecting municipalities with independent power producers using the existing prepaid electricity vending infrastructure of Cigicell, which operates in more than 95 municipalities across the country.

BluEnergy CEO Aaron Suckerman said in a statement on Tuesday that the licence allows the company to “actively participate in the buying and selling of power” by combining long-term power purchase agreements with prepaid revenue collection and settlement systems.

“We are removing the barriers to entry and providing municipalities with a secure, long-term solution for their energy needs,” Suckerman said.

The company operates through three entities covering project development, asset ownership and operations, and energy procurement and trading.

Mark Levy, co-CEO of Blu Label, who is leading the group’s energy push, said the licence reflects a commitment to infrastructure-led growth.

“BluEnergy’s ability to act as both offtaker and trader, supported by Blu Label’s strong balance sheet and fintech capabilities, positions the business to deliver sustainable energy solutions at scale,” he said in the statement.

Reach

The move comes as South Africa’s power sector reforms open up opportunities for private sector participation in electricity generation and trading.

Blu Label’s bet is that its deep reach into municipal prepaid systems – built through years of airtime and payments distribution – gives it a structural advantage in a market where revenue collection has long been a stumbling block for new entrants.