Power
South Africa regulator schedules hearings for energy trading permits
The National Energy Regulator of South Africa has invited public input on electricity trading and cross-border licence applications submitted by Engie and Energy Exchange.
Key points
- NERSA set a virtual public hearing for 7 December 2026 to evaluate two separate electricity licence submissions.
- Engie Energy Marketing South Africa seeks approval to trade power within the Eastern Cape and KwaZulu-Natal regions.
- Energy Exchange of Southern Africa applied for an import and export permit covering domestic and SADC markets.
What happened
South Africa's energy oversight body has initiated a public consultation process regarding two distinct electricity licence requests. Green Building Africa reported that the National Energy Regulator of South Africa scheduled a virtual stakeholder session for December 2026 to review the submissions. Engie Energy Marketing South Africa is seeking authorisation to conduct power trading activities inside the Eastern Cape and KwaZulu-Natal territories, where consumers currently receive supplies through Eskom.
In a separate application, Energy Exchange of Southern Africa requested an import and export electricity permit. This proposal encompasses operations across South Africa as well as the wider Southern African Development Community region, designating Eskom as the local distribution entity. Regulatory officials confirmed that documentation for both proposals is accessible via their online portal, with written feedback accepted for those unable to join the digital proceedings.
Interested participants must finalise their attendance requests prior to the November deadline managed by Walter Mabunda. The regulatory body specified that individual hearings will not proceed if stakeholders fail to register representations for a specific proposal. These administrative procedures fall under the statutory framework governing South African electricity, gas and petroleum sectors.
Why it matters
Expanding private participation in electricity trading represents a structural shift for South Africa's power sector, which has historically relied heavily on state-owned utility monopolies. Allowing independent traders and regional importers to operate can introduce competitive pricing mechanisms and improve supply reliability for industrial and commercial users. For energy investors, clear regulatory pathways for cross-border power exchange within the SADC region unlock new opportunities for regional grid integration and private capital deployment. World Bank figures for 2024 place South Africa's electricity consumption at 3,308.2 kilowatt-hours per person, while access to electricity stands at 90.2 percent of the population. However, historical renewable generation shares remained modest at 6.4 percent in 2021, according to World Bank data. Integrating active power traders into the market structure may facilitate better matching of diverse generation sources with high-demand industrial centers across the provinces.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Grids decide whether generation becomes power that homes and businesses can rely on. Generation mix, transmission and distribution losses, and tariffs together shape reliability and the case for investment.
90.2% of people in South Africa had electricity in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
