Electricity Regulation Act, 2006 (Act No. 4 of 2006)

Rules

Net-Billing Rules

Definitions

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In these Rules, words and phrases shall have the same meaning as words and phrases defined in the Electricity Regulation Act, 2006 (Act No. 4 of 2006) (‘the ERA’ or ‘the Act’) unless otherwise defined herein, in which case such words will have the meanings ascribed hereunder.

 

Capacity means, in respect of the unit or the facility, at any time and from time to time, the output power (expressed in megawatts or MW) of such unit or the facility.

 

Code means the Distribution Code, the Grid Code, or any other Code approved by NERSA.

 

Connection agreement means an agreement detailing the conditions under which the Distributor intends to connect the Prosumer.

 

Cost of supply study means the NERSA standard guideline for deriving and allocating costs of supply, used for the design of tariffs.

 

Customer means a user of electricity (person or legal entity) that has entered into an agreement with a licensed Distributor of electricity.

 

Delivery point means the physical point, situated at the point of the facility, where the energy output is to be delivered by the generator.

 

Distributor means a licensee or its appointed representative that constructs, operates and maintains the distribution network.

 

Demand means the highest average demand measured in kVA at the point of supply during a 30-minute integrating period in a billing month.

 

Embedded generator means a legal entity that operates one or more units connected to the distribution system or desires to connect one or more units to the distribution system.

 

Export tariff means the rate at which energy is credited on a Prosumer’s bill at the end of each billing period for every kilowatt-hour (kWh) of exported electricity to the distribution power system.

 

Exported electricity means the energy provided by the prosumer to the distribution system when the prosumer generates more power than it consumes.

 

Facility means the generation or distribution facility, as applicable, located at the plant and comprising all plants, machinery and equipment, as well as all associated buildings and structures, roads on the site that are not national, provincial or municipal roads.

 

Import tariff means the rate at which imported electricity from the power system energy is charged to a Prosumer.

 

Imported electricity means the energy and demand provided to the prosumer by the distributor when the prosumer consumes more power than it generates.

 

Maximum export capacity means the maximum capacity measure in 30 minute integrating periods at the point of supply notified by the customer and accepted the Distributor for the of electrical energy between a generator and/or distribution system.

 

Net-billing means a method of compensating customers when their generation is synchronised with the grid and some electricity is exported. The compensation for exported electricity is calculated using an export tariff. The customer is still charged the full tariff for energy consumed and capacity provided.

 

Notified maximum demand (NMD) means the maximum demand of the prosumer at the point of connection, notified in writing by the prosumer and accepted by the distributor or for the delivery of electrical energy to the prosumer.

 

Point of connection/supply is the electrical node on a power system where a facility is physically connected to the licensed transmitter or distributor’s electricity network.

 

Power system means the distribution electricity network.

 

Prosumer means a customer that has entered into an agreement with a distributor and generates electricity on its side of the billing meter with a generation facility that is primarily intended to offset part or all of its electricity requirements. A prosumer specifically excludes parties that are not offsetting own consumption and may be wheeling or selling electricity to buyers.

 

Site means the property upon which the facility will be constructed and operated.

 

Time of use means periods and seasons during which a time-of-use tariff has different energy rates.

 

Time-of-use tariff means a tariff with energy rates that change during time-of-use periods and seasons.

 

Unit means a separate electricity-generating unit or section comprising multiple units forming part of the facility, which can generate and deliver electricity to the delivery point, and ‘units’ means all or a combination of them.