Cape Town will pay cash to businesses and residents for excess power

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Cape Town will pay cash to businesses and residents for excess power
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Mayor Geordin Hill-Lewis has announced the City can now pay cash for power fed into the local electricity grid. Businesses, and in time, residents, will receive cash for selling their excess power into Cape Town’s grid.

Eskom responds to Ramaphosa’s request to halt the tariff hike

He continued by saying that they hoped to purchase electricity from as many customers of the City as would sell it to them. These clients are now permitted to generate as much electricity as they can from their approved systems and feed it into the grid in Cape Town. The National Energy Regulator of South Africa has approved a rate of 78.98 cents per kilowatt-hour for this financial year for the City to pay power sellers. The City also adds a 25-cent per kilowatt-hour incentive tariff on top of this.

By starting a wheeling trial for commercial and industrial users, technical and billing problems can be worked out before a large-scale rollout. The City recognises that this metre is still too costly for many, and we are working on finding an alternative, City-approved option of comparable quality and reliability.At the City’s request, the National Treasury granted Cape Town an exemption from competitive bidding and tendering processes that may otherwise apply to this process under Section 3 of the Preferential Public Procurement Framework Act .

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