The Portfolio Committee on Mineral Resources and Energy yesterday conducted public hearings on the Electricity Regulation Amendment Bill in Mpumalanga’s Gert Sibande District Municipality where the Bill received mixed reviews from the public.

Residents from across the district gathered at the Mayor’s Parlour in Ermelo to comment on the draft legislation that aims to introduce wide-ranging reforms in the electricity generation industry.

Those who supported the Bill told the committee that the proposed idea of opening the market for competitive electricity trading, where Eskom will compete with private companies, should be welcomed and will help the country address the challenges of electricity shortages, which cost the economy billions of rand in losses due to unreliable power supply.

Another submission from the public was that Parliament must tighten its oversight responsibilities and ensure that planned new state entities were protected from corruption,something that they argued contributed to the coll
apse of Eskom. A question was also posed about whether under the new reforms municipalities would be allowed to generate their own electricity.

There were also those who warned that all the planned changes must ensure that Eskom does not get in the hands of the private sector, and that privatisation of the electricity sector must be discouraged, as it would result in high costs which will disadvantage poor households and small businesses.

The committee also heard from citizens that the National Electricity Regulator of South Africa must clearly separate tariffs for businesses and household use.

The Bill aims to effect amendments to the Act in order to improve the administration of the Act;to provide for additional electricity, new generation capacity and electricity infrastructure; and to provide for the establishment, duties, powers and functions of the Transmission System Operator SOC Ltd.

It will also provide for an open market platform that will allow for competitive electricity trading; and to assign
the duties, powers and functions of the Transmission System Operator to the National Transmission Company South Africa SOC Ltd.

Today the committee will conclude its Mpumalanga leg of the public hearings on the Electricity Regulation Amendment Bill at Kwaggafontein Community Hall in Thembisile Hani (Nkangala District).

Source Parliament of South Africa (Cape Town)