10 Questions municipal officials should be asking about the document titled ‘Guidelines for Small Scale Embedded Generation in Western Cape Municipalities’

This guide by GreenCape provides municipal officials in the Western Cape with a framework for implementing and regulating Small Scale Embedded Generation (SSEG), primarily focusing on solar photovoltaic (PV) systems under 1MW. It details the technical components of PV systems, cost trends, tariff design principles, the application process for grid-tied and off-grid systems, and the necessary legal and regulatory standards to ensure grid stability and safety.

• Small Scale Embedded Generation (SSEG) is defined as renewable power generation under 1MW located on residential, commercial, or industrial sites where electricity is also consumed and connected to the municipal electrical grid.
• Solar PV systems provide price and supply security and add diversity to the energy mix, but they cannot stop loadshedding or reduce peak demand because they are non-despatchable, meaning peak generation (midday) does not align with average peak demand (early morning and late evening).
• The Levelised Cost of Electricity (LCoE) for PV systems varies by size; a large 100kWp system can generate an LCoE of approximately R1.30 per kWh, while a smaller 10kWp system generates an LCoE of approximately R1.68 per kWh.
• Sustainable SSEG tariffs should include network costs, service charges, and variable energy charges, with the addition of a feed-in component that can be either cost-based (based on SSEG cost plus return) or value-based (based on the value of energy to the system).
• Grid-tied SSEG installations require a formal application process and written municipal approval before installation to ensure grid capacity and safety. This process includes submitting a Generation and Embedded Generation application form, obtaining departmental permissions, and signing a Supplemental contract for embedded generation.
• SSEG installations in South Africa are governed by several national standards and acts, including the Electricity Regulation Act (Act 4 of 2006), the South African Distribution Code, and SANS 10142-1 for the wiring of premises. NERSA has provided license exemptions for SSEG installations in municipal areas under 100kW.
• Municipalities are advised to implement by-laws that regulate the supply of bulk electricity, enforce the registration of all embedded generation systems, manage the resale (wheeling) of electricity, and allow for the disconnection of supply in cases of illegal SSEG connections.

APA

GreenCape (2016). 10 Questions municipal officials should be asking about the document titled ‘Guidelines for Small Scale Embedded Generation in Western Cape Municipalities’. https://greencape.co.za/wp-content/uploads/2022/10/Ten-questions-about-the-Guidelines-for-small-scale-embedded-generation-FINAL-v1-22Sep16-3.pdf

Chicago

GreenCape. 10 Questions municipal officials should be asking about the document titled ‘Guidelines for Small Scale Embedded Generation in Western Cape Municipalities’. 2016. https://greencape.co.za/wp-content/uploads/2022/10/Ten-questions-about-the-Guidelines-for-small-scale-embedded-generation-FINAL-v1-22Sep16-3.pdf.

Wikipedia

{{cite report |author=GreenCape |title=10 Questions municipal officials should be asking about the document titled ‘Guidelines for Small Scale Embedded Generation in Western Cape Municipalities’ |date=23 September 2016 |url=https://greencape.co.za/wp-content/uploads/2022/10/Ten-questions-about-the-Guidelines-for-small-scale-embedded-generation-FINAL-v1-22Sep16-3.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{greencape2016questions, author = {{GreenCape}}, title = {{10 Questions municipal officials should be asking about the document titled ‘Guidelines for Small Scale Embedded Generation in Western Cape Municipalities’}}, institution = {GreenCape}, year = {2016}, month = sep, url = {https://greencape.co.za/wp-content/uploads/2022/10/Ten-questions-about-the-Guidelines-for-small-scale-embedded-generation-FINAL-v1-22Sep16-3.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }