Households and businesses are now required to register all rooftop solar power installations. But electricity users have been swimming in a sea of confusion about the new rules, when they come into force and what penalties are involved.
The new requirements form part of Eskom’s small-scale embedded generation (SSEG) programme. TechCentral asked the utility for clarity regarding the new rules and what they mean for consumers and businesses.
In this Q&A, Eskom clarifies why it believes that registering such systems is crucial, outlining the regulatory requirements from its regulator, Nersa, the benefits for homeowners and businesses, and the associated costs.
TechCentral: Why is it important for Eskom that homes and businesses register their systems?
Eskom: It is important to Eskom that homes and businesses register their SSEG installations because it is a regulatory requirement of Nersa’s. To be clear, this is not an Eskom requirement, it is a Nersa requirement. Across the world, with more and more solar PV systems pushing energy onto the grid, the safety of the grid has become a critical focus for both performance and the safety of the employees working on it. Nersa’s requirements are similar to many countries across the world.
In accordance with the Nersa regulations, all SSEG installations that operate alongside Eskom’s supply, even those not exporting power back into the grid, must be registered with Eskom (up to 100kW) or Nersa. As a licensed electricity distributor, Eskom ensures that all connections both load and generation comply with the required codes, standards and guidelines set by Nersa.
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Adhering to these technical standards is crucial for maintaining network security, ensuring the safety of field personnel and protecting the public. Municipal-supplied customers are required to engage with their local network providers for the applicable process and requirements.
TechCentral: What benefits do homes and business get for registering their systems?
Eskom: By registering their SSEGs with Eskom, customers will meet regulatory requirements for a safe connection, potentially earn by selling surplus energy to Eskom via net billing, store excess power within the utility framework and reduce their electricity costs through self-generated power.
TechCentral: What benefits to you get for paying these registration fees if you are a business?
Eskom: To comply with the Nersa regulations, there are once-off costs associated with solar PV installations. It is important to distinguish between the requirements for residential households and businesses. For residential installations up to 50kVA (a normal household is typically 16kVA), Eskom is offering free registration services and providing a complimentary smart bidirectional meter. This initiative, which began in March 2023 and runs until March 2026, helps reduce upfront costs by about R9 000 for households installing systems of 50kVA or less.
Business installations generally start at 50kVA and above and are subject to different regulatory and technical requirements. Where we have seen reported in the media of compliance costs in the range of tens of thousands of rand, it is in relation to an engineer or technologist sign off on the “embedded generator installation” report to ensure the safe integration of the system, as requested in the Nersa guidelines.
In addition, all customers coming forward receive a 12-month grace period to get their system compliant.
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TechCentral: What factors were considered in determining how much to charge for registration fees?
Eskom: Eskom focused on the most cost-effective solution for customers to meet the Nersa regulations.
TechCentral: How were these factors weighed up against issues of high fees lowering the return on investment and even acting as a deterrent for those wanting to install SSEG systems?
Eskom: A critical aspect of compliance is ensuring that installations meet safety standards. There is ongoing debate regarding who is authorised to sign off on these installations, which in turn has an impact on the cost to the consumer. Eskom and municipalities are awaiting a formal decision from South African Bureau of Standards on this matter. In the meantime, Eskom continues to apply the NRS097-2 SSEG standard to ensure safe integration of customer systems into the national electricity grid, in line with Nersa guidelines. Eskom is monitoring this situation closely. – © 2025 NewsCentral Media
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