Policy and Regulation
Department of Energy The Department of Energy is responsible for formulation of policies and regulations for the energy sector. Through the Integrated National Electrification Programme, the DoE is responsible for assisting municipalities with funding for implementation of electrification projects; this is in order to reach universal access to electricity by 2025. Beyond reaching universal access to energy for all and addressing electrification backlog, it is vital to have policy guidelines that will be adhered to when implementing electrification projects through the Integrated National Electrification Programme (INEP). A summary of electrification policies is illustrated below. Suite of Supply Policy The Suite of Supply policy covers all project categories such as bulk infrastructure & household connections, which includes electrification of domestic households, informal settlements, farm dweller houses, Communal Property Association (CPA) and Communal Rental Units (CRU). Farm Dweller Houses Policy Other polices such as farm dweller and un-proclaimed areas are also linked to the suite of supply policy and bulk infrastructure. All policies are providing guidance in terms of how electrification projects should be funded by the Department through its implementing agencies such as Eskom and Municipalities. Un-proclaimed Areas Policy While the focus is on addressing traditional backlog, the DoE also has to ensure that funding for electrification of new households is made available. Due to a number of factors, there are a lot of un-proclaimed and informal settlements which municipalities wish to electrify as part of the programme. The un-proclaimed areas policy looks at such areas and sets out guidelines as to what criteria would be followed in providing funding for them. Non-Grid Electrification Policy The electrification program would not be able to ensure grid electrification of all remote rural areas in the short or medium-term, therefore non-grid electrification was identified as an interim solution. The non-grid electrification program is designed to temporarily give deep rural communities access to limited electricity until such time that grid connections are possible. Solar Home Systems (SHS) are given to households as part of the non-grid electrification program. Bulk Infrastructure Policy Before an electrification project is implemented, it is very crucial to check if there is bulk infrastructure that will cater or supply the area with electricity. Bulk infrastructure is one of the categories outlined in the Suite of Supply policy whereby all bulk infrastructure projects such as building of new substations, new High and Medium Voltage lines, upgrading and refurbishment of the electrical networks are outlined, hence a reliable electrical infrastructure is critical when implementing electrification projects. Mixed Developments Policy Mixed developments refer to a development where an area is developed and has a component of fully subsidized RDP houses, social housing (crus), partially and fully bonded houses (Low Cost, GAP, BNG). These types of developments are done by developers in partnership with Government. Since these types of developments are increasing in numbers, this policy was created to address the types of such developments.