Electricity Regulation Act, 2006 (Act No. 4 of 2006)RulesRegulatory Rules for Power Purchase Cost Recovery7. Application |
| 7.1 | These rules are to provide a defined assessment framework for recovery of power purchases by the buyer. The aim in this regard is to provide a framework that is sufficiently robust that it can be applied on a consistent basis across a range of project types. |
| 7.2 | In applying the principles set out in rule 3, these rules are to cover the following: |
| 7.2.1 | Long-term power purchases entered into by the buyer as of the effective date of the rules, where long-term is defined as three (3) years or more whether procured domestically or cross-border; |
| 7.2.2 | All PPAs not yet signed by the parties as at the day of the implementation of the rules applicable; |
| 7.2.3 | Joint venture/partnership projects between Eskom/buyer and the private producers on condition that the Eskom/buyer is not a major shareholder; and |
| 7.2.4 | Unsolicited bids (the conclusion thereof will be done by NERSA). |