Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Cell C launches 5G

      Cell C launches 5G

      21 August 2026
      MVNOs are doing the heavy lifting at Cell C - Jorges Mendes

      MVNOs are doing the heavy lifting at Cell C

      21 August 2026
      Hot rand is cold comfort for tech buyers

      Hot rand is cold comfort for tech buyers

      21 August 2026
      Joburg says it has bought its way out of an Eskom blackout

      Joburg says it has bought its way out of an Eskom blackout

      21 August 2026
      Management consulting as we know it is over

      Management consulting as we know it is over

      21 August 2026
    • World
      Russia building its own Starlink - and faster than expected - Vadym Skibitskyi

      Russia building its own Starlink – and faster than expected

      11 August 2026
      Meta AI will now tell parents if their teen is in crisis

      Meta AI will now tell parents if their teen is in crisis

      17 July 2026
      IBM shares crash 25% as AI upends software spending - Arvind Krishna

      IBM shares crash 25% as AI upends software spending

      15 July 2026
      Jony Ive's first OpenAI device: an AI smart speaker - Jony Ive and Sam Altman

      Jony Ive’s first OpenAI device: an AI smart speaker

      15 July 2026
      Stripe, Advent in talks to buy PayPal for $53-billion

      Stripe, Advent in talks to buy PayPal for $53-billion

      15 July 2026
    • In-depth
      Google DeepMind CEO Demis Hassabis. Image: John Sears

      The plan to stop AI from breaking the world

      16 July 2026
      The internet has a Strait of Hormuz problem

      The internet has a Strait of Hormuz problem

      15 July 2026
      AI boom sparks rally, frenzy and fear

      AI boom sparks rally, frenzy and fear

      11 June 2026
      Every plug-in hybrid on sale in South Africa, ranked by price - Lamborghini Temerario

      Every plug-in hybrid on sale in South Africa, ranked by price

      7 June 2026
      What Wi-Fi 8 will mean for wireless networks

      What Wi-Fi 8 will mean for wireless networks

      1 June 2026
    • TCS
      Meet the CIO | Discovery's Derek Wilcocks on AI, guardrails and growth

      Meet the CIO | Derek Wilcocks on how AI personalised Vitality

      13 August 2026
      TCS | Money just became native to the internet - Steven Boykey Sidley

      TCS | Money just became native to the internet – Steven Boykey Sidley

      12 August 2026
      TCS+ | Specops' Darren James on continuous trust in an AI world

      TCS+ | Specops’ Darren James on continuous trust in an AI world

      7 August 2026
      TCS+ | How AI is turning hardware into a subscription service - Shane van der Merwe Merchant West

      TCS+ | How AI is turning hardware into a subscription service

      6 August 2026
      TCS+ | Why South African workers must become supervisors of digital labour - Accelera Digital Group Cliff de Wit

      TCS+ | Why South African workers must become supervisors of digital labour

      31 July 2026
    • Opinion
      The author, Jannie van Zyl

      Selling vapour is corporate suicide in slow motion

      16 July 2026
      Brazil's online gambling crackdown is a lesson for South Africa

      How Amazon outmanoeuvred Starlink in South Africa

      15 July 2026
      The Popia problem with agentic AI - Herman Haasbroek

      The Popia problem with agentic AI

      14 July 2026
      The author, Fanie van Rooyen

      South Africa can still catch the AI wave – here’s how

      7 July 2026
      The author, Fanie van Rooyen

      The AI utopia South Africa can’t afford

      1 July 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM Telecom
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Vox
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
      • Watts & Wheels
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Sections » Energy and sustainability » Private power producers seek fair deal over Eskom curbs

    Private power producers seek fair deal over Eskom curbs

    Private producers want compensation for revenues lost when adhering to requests to limit electricity supply.
    By Wendell Roelf27 August 2024
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp

    Private power producers seek fair deal over Eskom curbsSouth African private power producers are seeking compensation for revenues lost when adhering to requests from Eskom to limit electricity supply to the national grid, industry executives said.

    Eskom has submitted a proposal to the country’s energy regulator to introduce a mechanism to compensate independent power producers (IPPs) for lost revenue resulting from curtailment rates of up to 10%.

    The curtailment requests are due to a shortage of pylons and high voltage power lines that have caused choke points in Eskom’s transmission system.

    We are hoping that there will be adequate compensation for generation that is curtailed

    The compensation mechanism is one of several proposed regulatory reforms as efforts to open up Africa’s largest electricity market gather pace.

    “We are hoping that there will be adequate compensation for generation that is curtailed,” said Ian Burger, a technical director at private power developer Sola Group.

    Burger said Sola Group’s two Lichtenburg solar PV plants, which each produce just over 100MW, were requested in April and May by Eskom to cut output by up to 80% and produce only 20MW.

    Sola Group supplies power to miner Tronox.

    Eskom studies indicate that the costs of curtailing renewable energy are significantly lower than the hundreds of billions of rand required for upgrading the network to connect the same amount of renewable power to the grid.

    Draft policy

    By reducing generation from independent producers, Eskom hopes to immediately free up an estimated 3.5GW of additional capacity on the constrained grid.

    In July, energy regulator Nersa released a draft curtailment congestion policy based on Eskom’s application seeking approval to classify it as a “constrained ancillary generation service”. This would allow Eskom to use specific formulae to reimburse renewable energy plants for the power curtailed because of grid congestion.

    “The devil still is in the detail, but this raises the possibility of further minimising the cost borne by consumers by curtailing those IPPs with the lowest tariffs first, as opposed to everyone equally,” said Kilian Hagemann, CEO of G7 Renewable Energies.

    Read: Eskom mulls private funding for R395-billion grid upgrade

    Over the past five months, Eskom has provided continuous electricity, a feat last achieved in 2020, reducing its reliance on renewable energy to bolster the grid.

    Eskom expects congestion curtailment to be implemented routinely from 2026 onwards, with curtailment levels increasing as more renewable projects come online.  — (c) 2024 Reuters

    Don’t miss:

    Eskom turnaround is no ‘miracle’: Mteto Nyati

    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    Eskom Ian Burger Nersa SOLA Group Tronox
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleJim Volkwyn to step down at MultiChoice amid AGM drama
    Next Article Top court will hear Vodacom’s ‘please call me’ appeal

    Related Posts

    Joburg says it has bought its way out of an Eskom blackout

    Joburg says it has bought its way out of an Eskom blackout

    21 August 2026
    A hidden charge in your electricity bill is being scrapped - Kgosientsho Ramokgopa

    A hidden charge in your electricity bill is being scrapped

    19 August 2026
    Eskom's board is slow-walking the reform South Africa needs

    Eskom’s board is slow-walking the reform South Africa needs

    17 August 2026
    Company News
    Paratus Uganda first to market with Starlink service

    Paratus Uganda first to market with Starlink service

    21 August 2026
    Smarter operations take centre stage at Electra Mining Africa 2026

    Smarter operations take centre stage at Electra Mining Africa 2026

    20 August 2026
    Fidelity turns to Sigfox to spot fires before they start

    Fidelity turns to Sigfox to spot fires before they start

    19 August 2026
    Opinion
    The author, Jannie van Zyl

    Selling vapour is corporate suicide in slow motion

    16 July 2026
    Brazil's online gambling crackdown is a lesson for South Africa

    How Amazon outmanoeuvred Starlink in South Africa

    15 July 2026
    The Popia problem with agentic AI - Herman Haasbroek

    The Popia problem with agentic AI

    14 July 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Cell C launches 5G

    Cell C launches 5G

    21 August 2026
    MVNOs are doing the heavy lifting at Cell C - Jorges Mendes

    MVNOs are doing the heavy lifting at Cell C

    21 August 2026
    Hot rand is cold comfort for tech buyers

    Hot rand is cold comfort for tech buyers

    21 August 2026
    Joburg says it has bought its way out of an Eskom blackout

    Joburg says it has bought its way out of an Eskom blackout

    21 August 2026
    © 2009 - 2026 NewsCentral Media
    Built and maintained by Chronon
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}