The Solidarity Movement has called for small power producers to apply for power-generation permits in an effort to help resolve the country’s power crisis.
In a statement, Solidarity said the large-scale entry of small power producers into power generation was needed to sort out South Africa’s power crisis.
This comes as the country grappling with a power crisis as power utility Eskom is struggling to provide stable power and battling to keep up with demand, and current rolling blackouts of up to six hours a day.
Solidarity chief executive, Dirk Hermann, said: “Our members’ jobs and income are being destroyed on a large scale as a result of the power crisis. The biggest act of job protection we can undertake right now is to do everything possible to feed power into the system.”
According to Solidarity, the regulations for large-scale private power generation have been amended.
“This gives effect to President Cyril Ramaphosa’s announcement that up to 100MW can be generated with a permit and without needing a licence. There are no further statutory restrictions,” it said.
According to Solidarity, if the private sector can seize the opportunity, it could bring about a power revolution.
“If we continue to place our hope in Eskom and the state, it would result in a power depression. We call on developers, shopping malls, big companies, resident associations, entrepreneurs, major farmers, and others to submit applications for the generation, distribution, and sale of power.
“It is the right thing for the country, and it offers commercial opportunities. The new electricity sector can create thousands of new jobs directly and millions indirectly,” Hermann said.
Head of Solidarity’s Research Institute, Connie Mulder, said Phase 6 of load shedding would become the norm, and if the current trend continues, more extreme phases will be part of the country’s future.
“South Africa’s generation capacity is currently 9.7 percent lower than in 2012, while the population has grown by more than 8 million people,” he pointed out.
Solidarity said it would establish a help desk to help applicants when they are applying for permits.
The movement said it was important to have a functioning Eskom, it said all solutions should be complementary to the power utility’s efforts.
“Leaving Eskom out of the conversation regarding the future of electricity in South Africa would be dismissive of the extent of the coming power crisis – it would not be the one or the other. We need everything…
“Eskom is currently facing huge challenges in terms of corruption, capacity, and finances. Eskom must be stabilised by locking up the crooks, firing the bad guys, and paying off the debt,” Hermann said.
Solidarity also revealed that it plans to become involved in power generation through the development company called Kanton. Solidarity is the main shareholder in the company.
BUSINESS REPORT ONLINE