Eskom has simplified the solar system compliance process after working with industry stakeholders. This is set to extend cost relief for those who generate their own electricity through small-scale embedded generation (SSEG) systems.

The aim is to make it easier, safer, and more affordable for households and small businesses to connect legally to the national grid as required by the National Energy Regulator of South Africa (NERSA).

Eskom says it’s been working on the SSEG framework since 2015 with industry stakeholders, and has now developed a simpler and more affordable solution for customers that still maintains a stringent focus on safety.

The major change, finalised last month and effective from 1 October 2025, is that Eskom’s residential customers may now have their systems signed off by a Department of Labour (DoL)–registered person (excluding single-phase testers).

Previously, an Engineering Council of South Africa (ECSA)-registered professional was required to sign off. This process could be costly for some homeowners, as fees for professional sign-off vary across providers and are outside Eskom’s control.

The power utility says this comes after a review of compliance and safety requirements, as well as a stringent due diligence process.

Eskom Acting Group Executive, Distribution, Agnes Mlambo said:

“Eskom recognises that many South Africans are eager to participate in the clean energy transition. Our goal is to make it as simple, safe, and cost-effective as possible for customers to connect legally, while ensuring the stability and safety of the national grid. We have been working hard with our industry stakeholders to remain at the leading edge of safety requirements.”

Mlambo further encouraged customers to come forward and register their systems to meet NERSA’s legal requirements.

Registration ensures compliance and safety but also positions customers to benefit from future programmes that reward clean energy generation.

In line with NERSA regulations, all businesses and households with embedded generation systems of less than 100kVA, including solar PV systems, are required to register with Eskom (electricity licensee), even if they do not export electricity to the grid.

However, customers who are fully off-grid and not connected to Eskom’s network are not required to register, provided they can demonstrate that their systems operate independently of Eskom’s supply.

Before 2019, only medium-voltage customers (above 1000V) were permitted to operate embedded generators in parallel with Eskom’s/licensee’s network. In April 2020, Eskom expanded this to include low-voltage customers, allowing residential and small business users to install SSEG systems.

The changes mean that more South Africans can participate in the clean energy transition with confidence:

• No registration or connection fees for households with solar systems up to 50kVA, until March 2026.
• Faster sign-off process: residential systems can now be certified by a Department of Labour registered person (Installation Electricians and Master Installation Electricians), and this excludes single-phase testers.
• Clear, simpler requirements: a valid Certificate of Compliance and a basic EGI test report (to be signed off by a registered person). This means customers can save over R9 000 on connection costs for a typical 16kVA rooftop solar system.
• Households with solar PV systems up to 50kVA continue to be exempt from registration fees and installation of smart meter fees.
• Non-residential SSEG customers will continue to benefit from the previous year’s connection charges, ensuring continued cost savings.
• Registered customers are also well-placed to benefit from future tariff structures that make it possible to sign up for demand response products and pay less for electricity by shifting energy use to lower-cost periods.
• In addition, those who export power back to the grid benefit from the NERSA-approved Homeflex tariff, which provides credits for energy exported, further improving the return on their investment.