Solar Relief: Eskom Confirms No Fines for Unregistered Home Systems, For Now

In a welcome clarification for thousands of South African homeowners, Eskom has confirmed it will not impose fines on its direct customers who have not registered their small-scale solar power systemsat least for the time being. The utility is instead focusing on encouraging voluntary registration through a concessionary campaign that waives all sign-up fees until 31 March 2026.

The announcement came from Eskom Distribution general manager Kevin Pillay during an interview on The Money Show with Stephen Grootes. “Eskom has the legal power to impose fines for illegal connections, but at this point in time, we are not deeming unregistered SSEGs as illegal,” Pillay stated. “We are not intending to impose fines.”

The “Carrot” Approach: A Fee Waiver Campaign

The current approach is one of incentive. Eskom is waiving the registration fee, the cost of the required bidirectional smart meter, and safety inspection costs for customers who sign up before the end of March 2026. Pillay emphasised that registered customers also gain a “cost benefit” from the structured Homeflex time-of-use (ToU) tariff, which is mandatory for all grid-tied systems.

The Tariff Debate and Safety Concerns

The shift to the Homeflex tariff has been contentious. Organisations like OUTA argue customers should choose their own tariff, while municipalities like Johannesburg force solar users onto higher-fixed-charge postpaid plans. Pillay defended the ToU structure as a matter of fairness, arguing that solar users who rely on the grid for backup but draw little power shouldn’t have their infrastructure costs subsidised by neighbours without solar.

On safetya key reason Eskom cites for registrationPillay admitted there are no confirmed cases of a rooftop system causing a fatal voltage fluctuation for an Eskom worker. However, he maintained that measuring such fluctuations at the distribution level remains difficult.

Legal Experts Question Compulsion

Veteran energy analyst Chris Yelland has consistently argued that Eskom lacks the legal power to fine or disconnect customers for non-registration. He points out that the Electricity Regulation Act exempts systems under 100kWp from mandatory registration and that safety certification is the responsibility of a Department of Labour-registered electrician, not the utility.

Yelland also notes that most modern inverters can be set to prevent feed-in, and conventional prepaid meters will simply trip if feed-in is detected, mitigating any risk of unregulated export.

A Temporary Reprieve, Not a Permanent Pass

For now, the message to Eskom direct customers is clear: you can breathe easier, but you are still being strongly encouraged to register. The utility is opting for persuasion over punishment, hoping the waived fees and structured tariff will drive sign-ups. However, the underlying debate over compulsion, fair tariffs, and where safety regulation truly lies remains unresolved, leaving a cloud of uncertainty over the long-term stance Eskomand municipalitieswill ultimately take.

{Source: Mybroadband}

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