Regulatory change and competition in the South African electricity supply industry

Christopher Hansen

Development Southern Africa, 2000, vol. 17, issue 3, 339-356

Abstract: The electricity industry is a concentrated, regulated and largely publicly owned sector which is dominated by Eskom, a vertically integrated public utility. Recently, new structures and regulation have been proposed to separate the different levels of operation, from generation through to distribution, and to open up the potential for competition. This study undertakes a preliminary analysis of competition and regulation issues in electricity for South Africa. First, the structure of the electricity supply industry (ESI) is analysed, with a brief review of the differing characteristics of operations at each level and the implications for ownership and control within the sector. The performance of Eskom is then assessed against both financial and non-financial criteria. Next, the electrification progress and the regulatory framework are evaluated before differing options for the restructuring of the ESI, both in the long and the short term, are appraised.

Date: 2000
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DOI: 10.1080/713661413

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