No more 'first come, first served' as Eskom issues new rules for grid access | Business

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Eskom is doing away with its 'first come, first served' principle for projects applying for grid access. | News24_Business

Eskom is changing its grid access rules to deal with constraints.

Speaking at a briefing to industry players on Tuesday, Eskom's general manager for operations enablement, Velaphi Ntuli, said the changes had come about given grid constraints that are escalating with each public power procurement process, and now the opening up of the energy market for Independent Power Producers .

Issues with the emergency procurement projects hogging space had caused delays for Bid Window 5 of the REIPPPP and, consequently, Bid Window 6."As we now get ready to Bid Window 7, the problem is getting worse. That is why we developed the rules," he added. We hope that the rules will help us achieve a fair and equitable and transparent allocation for the limited resource that we have.Eskom is now following the principle of"first ready, first served". This means that it will only be allocating grid capacity to projects that are ready to bring much-needed generation capacity online, he emphasised.

"[The requirements will] help us explain to South Africa that to those we allocated capacity have demonstrated a readiness to connect to the grid and are not hogging capacity," said Seetswane. From 7 July, Eskom will assess projects against the readiness criteria. It intends to give notice of whether the criteria have been met by 31 July. The projects deemed ready will have 15 days to provide Eskom the guarantee. Thereafter the allocation of grid access will continue. But some industry stakeholders raised concerns that the new requirements would require developers to spend a lot of money to be able to demonstrate they meet requirements, without a guarantee they would have grid access.

 

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