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The ruling also set the important legal
principle that Eskom is only obliged to supply
electricity to paying customers.
“The Electricity Regulation Act of 2006
entitles Eskom to interrupt electricity supply
to a non-paying customer and in this matter;
Eskom had taken proper preliminary steps
and due process which did not entitle the
applicant to the interim interdict.”
The court also held that Eskom’s
interruptions of supply to the defaulting
municipality were important and necessary
Nigeria’s NERC says discos their service commitment or not. And for its survival.
“Pioneer had an available internal remedy
consumers will be compensated for failure
will compensate electricity to deliver on that service. We do not expect which entailed lodging a dispute with the
consumers to start putting gadgets to monitor
National Energy Regulator of South Africa
consumers for power electricity.” (NERSA).”
The court held that before an aggrieved
failures party approached it for relief against Eskom;
it should demonstrate that it first exhausted
The Federal Government has warned power ESKOM the internal remedies contemplated by the
distribution companies (Discos) that they will Electricity Regulation Act by approaching
compensate affected consumers for defaulting Eskom welcomes high court NERSA.
in service delivery if they fail to supply the “The relationship between Eskom and
required quantum of electricity under the new ruling on defaults the municipality is reciprocal in that Eskom
service reflective tariff regime. supplies bulk electricity against payment.”
According to a report from Punch, this Eskom has welcomed what it deems as a Eskom has committed to ramping up its
disclosure was made by Sanusi Garba, the landmark judgment after the High Court effort to collect the unpaid municipal debt to
Vice Chairman of Nigerian Electricity affirmed the utility’s right to terminate improve its own coffers.
Regulatory Commission (NERC), who electricity supply to defaulting, non-paying
doubles as a commissioner at the commission, customers.
in Abuja. He said that NERC had deployed a The South Gauteng High Court handed
mechanism to monitor the Discos. down the judgement on October 13. GAS-FIRED GENERATION
NERC had revealed that all Discos Eskom said it was now in a position
committed to delivering agreed quantum to enhance all its collective efforts from Siemens gets Mozambique
of power to customers in various categories defaulting municipalities that collectively owe
beginning from September 1, 2020, when the utility more than ZAR31bn in overdue LNG turbines job
the new service reflective tariff regime debt.
started. The commission is expected to start Pioneer Foods brought the case against Siemens Energy said it has won a contract
monitoring the Discos on a monthly basis Eskom seeking to review and set aside Eskom’s to supply power generation equipment and
to ensure compliance by the power firms in 2018 decision to interrupt electricity supply boil-off gas compressors for the Mozambique
terms of meeting the agreement. to the Walter Sisulu Municipality due to its LNG project.
He said the service reflective tariff, which failure to pay for electricity supplied in terms CCS JV, a joint venture between Saipem
took effect on September 1, 2020, before it of the municipality’s agreement with Eskom. and McDermott awarded the contract.
was suspended for 14 days after an agreement “The court ruled that Pioneer Foods The facility is being developed in the Cabo
between the Federal Government and labour had no standing in the electricity supply Delgado province on Africa’s East Coast.
unions, would ensure that customers of agreement between Eskom and the The project, led by Total E&P Mozambique
distribution companies paid for what they municipality, and dismissed the application Area 1, includes the development of offshore
consumed. with costs,” said Eskom in a statement on gas fields in Mozambique’s Area 1. It also
Garba said, “The commission has come Wednesday. includes a liquefaction plant with a capacity in
forward to say tariffs will be service-based, According to the power utility, Pioneer excess of 12mn tonnes per year.
meaning that you will pay your rates in Foods is a customer of the municipality, and As part of the contract, Siemens Energy
correlation with the level of service you get. as such had no legal right to bring the case will supply six SGT-800 industrial gas
Now, obviously, the commission has its own against Eskom to court. turbines. The units will provide low emissions
mechanism for monitoring the performance “This is a landmark judgment affirming onsite power generation. The 54MW turbine
of the Discos. This is because if a Disco says the validity and lawfulness of Eskom’s rights, rating selected for this project has a gross
you are in Band C, it means the Disco is powers and entitlement to invoke section efficiency of 39 percent, Siemens Energy said
committed to giving you between 12 to 16 21(5) of the Electricity Regulation Act of in its statement on Thursday.
hours as a minimum. 2006 to interrupt the supply of electricity to a It features a robust, dry low-emission
“So the role of the commission is to delinquent customer, in this case, the Walter (DLE) combustion system that enables ‘world-
monitor and at the end of the month to Sisulu Municipality in the Eastern Cape,” class’ emission performance over a wide load
determine which Disco has complied with Eskom said. range.

P10 www. NEWSBASE .com Week 41 15•October•2020