Pathway to electricity markets
“Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

No data available for the deliverable: “Real” wheeling protocols

Summary

The wheeling framework was approved by the National Energy Regulator of South Africa (Nersa) in March 2025 and confirmed at a media briefing held by the DoEE minister in April 2025. Nersa chairperson Thembani Bukula has said that SA has had over 100 wheeling arrangements implemented over the past 15 years. The framework also allows municipalities to wheel to Eskom and vice versa.

Canvas not supported.

Is it working?

The framework is somewhat effective. There is an increased number of applications for trading licences which Nersa has approved; these traders would make use of wheeling arrangements. However, traders have faced hurdles. Eskom in 2024 launched a legal application to set aside licences granted to five traders. The proposed litigation threatened to delay reform. In February 2026 Eskom indicated that it will officially halt the challenge. This allows the development of trading rules to continue without uncertainty created by the court challenge.

Actions

The wheeling framework was approved by Nersa in March - it details requirements necessary to wheel electricity and indicates how fees are to be determined. Eskom's Grid Access unit must enable grid connections. Eskom has had a wheeling framework in place since 2008, but the Nersa framework applies nationally and Eskom must also abide by it. Eskom however remains resistant to the liberalisation of the energy market with its legal case against traders (which remains a threat) and so Nersa is developing an additional set of electricity trading rules to regulate that activity. The trading rules are to be finalised by Q1 of 2026.

Are there plans?

The wheeling framework went through public consultations and was approved by Nersa. This was a key Energy Action Plan and Necom KPI that has been long sought after by IPPs to improve access to the grid and will help bring more renewable energy capacity onto the grid.

Is it on the agenda?

Framework approved by Nersa in March 2025 as Regulatory Rules on Network Charges for Third-Party Transportation of Energy in South Africa.

Goals

To enable and guide the traditional wheeling of electricity across the market, in which producers can feed into the grid and customers draw down from the grid.

Analyst: Lameez Hyman
Status: in-progress
Last Updated:
Next Update:
Reform Area:
Reform:

    If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

    South African Wholesale Electricity Market

    No data available for the deliverable: South African Wholesale Electricity Market

    No data available for the deliverable: South African Wholesale Electricity Market

    No data available for the deliverable: South African Wholesale Electricity Market

    No data available for the deliverable: South African Wholesale Electricity Market

    No data available for the deliverable: South African Wholesale Electricity Market

    No data available for the deliverable: South African Wholesale Electricity Market

    No data available for the deliverable: South African Wholesale Electricity Market

    Summary

    The Electricity Regulation Amendment Act of 2024 lays the legal framework to enable a competitive electricity market. The National Transmission Company of South Africa is leading the process to set up the South African Wholesale Electricity Market (Sawem), having drafted the market code (the rules and structure by which the market will function). The NTCSA is supported by the National Energy Crisis Committee, which engages with stakeholders in setting up the building blocks for a fairly functioning and competitive wholesale electricity market.

    As the licensed market operator, the NTCSA had targeted 1 April 2026 for the launch of the Sawem but achieving this was unlikely and on 26 March, NTCSA confirmed the deadline would not be met and pushed the launch date out to Q3 2026 at the latest. That is days after the DoEE’s Sawem workshop is scheduled.

    Canvas not supported.

    Is it working?

    An important milestone was achieved in November 2025 when the National Energy Regulator of South Africa granted the NTCSA a market operator licence. But there are several other requirements before the market can start functioning, such as having Nersa approve the market code and rules, the finalisation of vesting contracts with Eskom generation and distribution, approving a wholesale electricity tariff and setting up a trading platform. The Sawem is unlikely to be a fully operating market until September 2026.

    Actions

    Necom has developed an implementation roadmap for Sawem; Operation Vulindlela is leading a process to draw up an Electricity Distribution Industry (EDI) Reform roadmap, which is relevant for municipalities and their future role in a competitive electricity market, to be released in June 2026.


    Are there plans?

    The NTCSA has finalised and submitted the market code to Nersa for consideration.A framework for vesting contracts with Eskom to enable its Distribution, Generation and contracted Independent Power Producers to participate in the market, must be finalised and approved by Nersa.Nersa will also have to consider and approve a wholesale electricity tariff, while it is also finalising the development of trading rules to regulate licensed traders who are participating in the market. Another critical development is to have the full unbundling of Eskom and an independent Transmission System Operator (with asset ownership) established to support a competitive electricity market.

    Reform in the Electricity Distribution Industry is important to ensure the financial sustainability of municipalities so that they can also participate in the market and not be left behind.

    Is it on the agenda?

    The Electricity Regulation Amendment Act lays the legal framework for setting up a competitive electricity market. This is also backed by the Presidency through Operation Vulindlela and Necom as well as the NTCSA, which is leading the process to set up the Sawem.While in speeches and media briefings Electricity and Energy Minister Kgosientsho Ramokgopa has referred to the establishment of a competitive electricity market, this has not been tabled in a reform roadmap for the electricity sector, which is needed.

    Goals

    To set up an efficient, competitive electricity market, as part of overall energy sector reforms.

    Summary

    The Electricity Regulation Amendment Act of 2024 lays the legal framework to enable a competitive electricity market. The National Transmission Company of South Africa is leading the process to set up the South African Wholesale Electricity Market (Sawem), having drafted the market code (the rules and structure by which the market will function). The NTCSA is supported by the National Energy Crisis Committee, which engages with stakeholders in setting up the building blocks for a fairly functioning and competitive wholesale electricity market.

    As the licensed market operator, the NTCSA had targeted 1 April 2026 for the launch of the Sawem but achieving this was unlikely and on 26 March, NTCSA confirmed the deadline would not be met and pushed the launch date out to Q3 2026 at the latest. That is days after the DoEE’s Sawem workshop is scheduled.

    Canvas not supported.

    Is it working?

    An important milestone was achieved in November 2025 when the National Energy Regulator of South Africa granted the NTCSA a market operator licence. But there are several other requirements before the market can start functioning, such as having Nersa approve the market code and rules, the finalisation of vesting contracts with Eskom generation and distribution, approving a wholesale electricity tariff and setting up a trading platform. The Sawem is unlikely to be a fully operating market until September 2026.

    Actions

    Necom has developed an implementation roadmap for Sawem; Operation Vulindlela is leading a process to draw up an Electricity Distribution Industry (EDI) Reform roadmap, which is relevant for municipalities and their future role in a competitive electricity market, to be released in June 2026.


    Are there plans?

    The NTCSA has finalised and submitted the market code to Nersa for consideration.A framework for vesting contracts with Eskom to enable its Distribution, Generation and contracted Independent Power Producers to participate in the market, must be finalised and approved by Nersa.Nersa will also have to consider and approve a wholesale electricity tariff, while it is also finalising the development of trading rules to regulate licensed traders who are participating in the market. Another critical development is to have the full unbundling of Eskom and an independent Transmission System Operator (with asset ownership) established to support a competitive electricity market.

    Reform in the Electricity Distribution Industry is important to ensure the financial sustainability of municipalities so that they can also participate in the market and not be left behind.

    Is it on the agenda?

    The Electricity Regulation Amendment Act lays the legal framework for setting up a competitive electricity market. This is also backed by the Presidency through Operation Vulindlela and Necom as well as the NTCSA, which is leading the process to set up the Sawem.While in speeches and media briefings Electricity and Energy Minister Kgosientsho Ramokgopa has referred to the establishment of a competitive electricity market, this has not been tabled in a reform roadmap for the electricity sector, which is needed.

    Goals

    To set up an efficient, competitive electricity market, as part of overall energy sector reforms.

    Analyst: Lameez Hyman
    Status: in-progress
    Last Updated:
    Next Update:
    Reform Area:
    Reform:

      If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

      Standard Offer to acquire electricity programme

      Summary

      Eskom has launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame.

      Canvas not supported.

      Is it working?

      Effective - the government is considering increasing the threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      Establishment of the energy action plan.

      Are there plans?

      To extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      For Eskom to procure additional power form IPPs

      Goals

      The Standard Offer aims to increase capacity and kilowatt-hours on the grid. New and existing generators can now sell surplus electricity to Eskom.

      Summary

      Eskom has launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame.

      Canvas not supported.

      Is it working?

      Effective - the government is considering increasing the threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      Establishment of the energy action plan.

      Are there plans?

      To extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      For Eskom to procure additional power form IPPs

      Goals

      The Standard Offer aims to increase capacity and kilowatt-hours on the grid. New and existing generators can now sell surplus electricity to Eskom.

      Summary

      Eskom has launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame.

      Canvas not supported.

      Is it working?

      Effective: Eskom has been able to procure up to 1,000MW when required. The government is considering increasing this threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      Establishment of the energy action plan.

      Are there plans?

      To extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      For Eskom to procure additional power form IPPs.

      Goals

      The Standard Offer enables new and existing generators of electricity to sell surplus power to Eskom. The aim is to increase capacity and kilowatt-hours on the grid.

      Summary

      Eskom has launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame.

      Canvas not supported.

      Is it working?

      Effective: Eskom has been able to procure up to 1,000MW when required. The government is considering increasing this threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      Establishment of the energy action plan.

      Are there plans?

      To extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      For Eskom to procure additional power form IPPs.

      Goals

      The Standard Offer enables new and existing generators of electricity to sell surplus power to Eskom. The aim is to increase capacity and kilowatt-hours on the grid.

      Summary

      Eskom has launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame.

      Canvas not supported.

      Is it working?

      Effective: Eskom has been able to procure up to 1,000MW when required. The government is considering increasing this threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      Establishment of the energy action plan.

      Are there plans?

      To extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      For Eskom to procure additional power form IPPs.

      Goals

      The Standard Offer enables new and existing generators of electricity to sell surplus power to Eskom. The aim is to increase capacity and kilowatt-hours on the grid.

      Summary

      Eskom launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame. COMPLETE: We stopped tracking this issue at end-June 2025. Eskom can now procure additional power from IPPs when the need arises. The Standard Offer Programme allows Eskom to procure energy on a short term basis (less than three years) from companies with excess generation capacity.

      Canvas not supported.

      Is it working?

      Effective: Eskom has been able to procure up to 1,000MW when required, and this option is still available. The government is considering increasing this threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      The plan was implemented by Eskom and led to it acquiring excess electricity.

      Are there plans?

      The plan was implemented for 1,000MW and there is now consideration to extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      Yes, it was part of the Energy Action Plan for Eskom to procure additional power from IPPs that had excess capacity.

      Goals

      The Standard Offer reform deliverable was intended to enable new and existing generators of electricity to sell surplus power to Eskom. The aim was to increase capacity and kilowatt-hours on the grid.

      Summary

      Eskom launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame. COMPLETE: We stopped tracking this issue at end-June 2025. Eskom can now procure additional power from IPPs when the need arises. The Standard Offer Programme allows Eskom to procure energy on a short-term basis (less than three years) from companies with excess generation capacity.

      Canvas not supported.

      Is it working?

      Effective: Eskom has been able to procure up to 1,000MW when required, and this option is still available. The government is considering increasing this threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      The plan was implemented by Eskom and led to it acquiring excess electricity.

      Are there plans?

      The plan was implemented for 1,000MW and there is now consideration to extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      Yes, it was part of the Energy Action Plan for Eskom to procure additional power from IPPs that had excess capacity.

      Goals

      The Standard Offer reform deliverable was intended to enable new and existing generators of electricity to sell surplus power to Eskom. The aim was to increase capacity and kilowatt-hours on the grid.

      Summary

      Eskom launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame. COMPLETE: We stopped tracking this issue at end-June 2025. Eskom can now procure additional power from IPPs when the need arises. The Standard Offer Programme allows Eskom to procure energy on a short-term basis (less than three years) from companies with excess generation capacity.

      Canvas not supported.

      Is it working?

      Effective: Eskom has been able to procure up to 1,000MW when required, and this option is still available. The government is considering increasing this threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      The plan was implemented by Eskom and led to it acquiring excess electricity.

      Are there plans?

      The plan was implemented for 1,000MW and there is now consideration to extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      Yes, it was part of the Energy Action Plan for Eskom to procure additional power from IPPs that had excess capacity.

      Goals

      The Standard Offer reform deliverable was intended to enable new and existing generators of electricity to sell surplus power to Eskom. The aim was to increase capacity and kilowatt-hours on the grid.

      Summary

      Eskom launched a Standard Offer Programme to purchase up to 1,000MW of power from companies that have existing generation capacity for a period of three years, as well as an Emergency Generation Programme to purchase additional power when the grid is constrained. The Eskom board is considering increasing the existing 1,000MW allocation for its Standard Offer Programme to 4,000MW and extending the plan beyond its initial three-year time frame. COMPLETE: We stopped tracking this issue at end-June 2025. Eskom can now procure additional power from IPPs when the need arises. The Standard Offer Programme allows Eskom to procure energy on a short-term basis (less than three years) from companies with excess generation capacity.

      Canvas not supported.

      Is it working?

      Effective: Eskom has been able to procure up to 1,000MW when required, and this option is still available. The government is considering increasing this threshold form 1,000MW to 3,000MW due to its efficacy.

      Actions

      The plan was implemented by Eskom and led to it acquiring excess electricity.

      Are there plans?

      The plan was implemented for 1,000MW and there is now consideration to extend the allocation from 1,000MW to 3,000MW.

      Is it on the agenda?

      Yes, it was part of the Energy Action Plan for Eskom to procure additional power from IPPs that had excess capacity.

      Goals

      The Standard Offer reform deliverable was intended to enable new and existing generators of electricity to sell surplus power to Eskom. The aim was to increase capacity and kilowatt-hours on the grid.

      Analyst: Lameez Hyman
      Status: in-progress
      Last Updated:
      Next Update:
      Reform Area:
      Reform:

        If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.

        Virtual wheeling protocols

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off takers. Additionally, as the buyer may receive wheeling credit in the form of a refund, no changes to the power supply agreement were necessary.

        Canvas not supported.

        Is it working?

        Effective - IPPs are using the virtual wheeling framework to wheel electricity to their customers.

        Actions

        The release of a virtual wheeling framework.

        Are there plans?

        Eskom intends to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom since August 2023, to the rest of the market by the end of 2024.

        Is it on the agenda?

        Framework released in August 2023.

        Goals

        The virtual wheeling framework was released in August 2023 and was piloted through the Vodacom network. It aims to establish a framework connecting buyers and sellers of electricity across the country.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off takers. Additionally, as the buyer may receive wheeling credit in the form of a refund, no changes to the power supply agreement were necessary.

        Canvas not supported.

        Is it working?

        Effective - IPPs are using the virtual wheeling framework to wheel electricity to their customers.

        Actions

        The release of a virtual wheeling framework.

        Are there plans?

        Eskom intends to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom since August 2023, to the rest of the market by the end of 2024.

        Is it on the agenda?

        Framework released in August 2023.

        Goals

        The virtual wheeling framework was released in August 2023 and was piloted through the Vodacom network. It aims to establish a framework connecting buyers and sellers of electricity across the country.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off-takers. Additionally, as the buyer may receive wheeling credit in the form of a refund, no changes to the power supply agreement were necessary.

        Canvas not supported.

        Is it working?

        Effective - IPPs are using the virtual wheeling framework to wheel electricity to their customers.

        Actions

        The release of a virtual wheeling framework.

        Are there plans?

        Eskom intends to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom since August 2023, to the rest of the market by end-2024. Besides Vodacom, many other companies with ESG targets are looking to adopt virtual wheeling to guarantee access to renewable energy.

        Is it on the agenda?

        Framework released in August 2023.

        Goals

        The virtual wheeling protocols are required to establish a framework for connecting buyers and sellers of electricity across the country. The protocols were released in August 2023 and was piloted through the Vodacom network.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off-takers. Additionally, as the buyer may receive wheeling credit in the form of a refund, no changes to the power supply agreement were necessary.

        Canvas not supported.

        Is it working?

        Effective - IPPs are using the virtual wheeling framework to wheel electricity to their customers.

        Actions

        The release of a virtual wheeling framework.

        Are there plans?

        Eskom intends to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom since August 2023, to the rest of the market by end-2024. Besides Vodacom, many other companies with ESG targets are looking to adopt virtual wheeling to guarantee access to renewable energy.

        Is it on the agenda?

        Framework released in August 2023.

        Goals

        The virtual wheeling protocols are required to establish a framework for connecting buyers and sellers of electricity across the country. The protocols were released in August 2023 and was piloted through the Vodacom network.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off-takers. Additionally, as the buyer may receive wheeling credit in the form of a refund, no changes to the power supply agreement were necessary.

        Canvas not supported.

        Is it working?

        Effective - IPPs are using the virtual wheeling framework to wheel electricity to their customers.

        Actions

        The release of a virtual wheeling framework.

        Are there plans?

        Eskom intends to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom since August 2023, to the rest of the market by end-2024. Besides Vodacom, many other companies with ESG targets are looking to adopt virtual wheeling to guarantee access to renewable energy.

        Is it on the agenda?

        Framework released in August 2023.

        Goals

        The virtual wheeling protocols are required to establish a framework for connecting buyers and sellers of electricity across the country. The protocols were released in August 2023 and was piloted through the Vodacom network.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off-takers. Additionally, as the buyer may receive wheeling credit in the form of a refund, no changes to the power supply agreement were necessary.

        Canvas not supported.

        Is it working?

        Effective - IPPs are using the virtual wheeling framework to wheel electricity to their customers.

        Actions

        The release of a virtual wheeling framework.

        Are there plans?

        Eskom intends to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom since August 2023, to the rest of the market by end-2024. Besides Vodacom, many other companies with ESG targets are looking to adopt virtual wheeling to guarantee access to renewable energy.

        Is it on the agenda?

        Framework released in August 2023.

        Goals

        The virtual wheeling protocols are required to establish a framework for connecting buyers and sellers of electricity across the country. The protocols were released in August 2023 and was piloted through the Vodacom network.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off-takers, often smaller and low voltage customers. However, traders are not yet allowed to participate on Eskom's virtual wheeling platform until trading rules are finalised.

        Canvas not supported.

        Is it working?

        Eskom formally launched its virtual wheeling platform in June 2025 but reach has been limited. It has since awarded a contract Enerweb to scale the system. Enerweb's system will also be able to include traders, provided that relevant regulations are also in place.We continue to monitor the reform's progress.

        Actions

        The release of a virtual wheeling framework was initially done in August 2023. Eskom launched its virtual wheeling platform in April 2025 and it is now active. Plans to scale the system, through a contract with Enerweb is underway.

        Are there plans?

        Eskom intended to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom since August 2023, to the rest of the market by end-2024. Besides Vodacom, many other companies with ESG targets are looking to adopt virtual wheeling to guarantee access to renewable energy.
        rnThere are plans to scale the system - which would then accommodate electricity traders.

        Is it on the agenda?

        The framework was released in August 2023.

        Goals

        The virtual wheeling protocols are required to establish a framework for connecting buyers with multiple sites and sellers of electricity across the country. This complements traditional wheeling which typically connects large producers directly to large consumers. Virtual wheeling allows for multiple small consumers or consumers with several sites to connect.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off-takers, often smaller and low voltage customers. However, traders are not yet allowed to participate on Eskom's virtual wheeling platform until trading rules are finalised.

        Canvas not supported.

        Is it working?

        Eskom formally launched its virtual wheeling platform in June 2025 but reach has been limited. It has since awarded a contract Enerweb to scale the system. Enerweb's system will also be able to include traders, provided that relevant regulations such as the trading rules are also in place.We continue to monitor the reform's progress.

        Actions

        The release of a virtual wheeling framework was initially done in August 2023. Eskom launched its virtual wheeling platform in April 2025 and it is now active. Plans to scale the system through a contract with Enerweb are under way, as is the development of trading rules, with Operation Vulindlela estimating that they will be finalised by April 2026.

        Are there plans?

        Eskom intended to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom, to the rest of the market by end-2024. Besides Vodacom, many other companies with ESG targets are looking to adopt virtual wheeling to guarantee access to renewable energy.
        rnThere are plans to scale the system - which would then accommodate electricity traders.

        Is it on the agenda?

        The framework was released in August 2023.

        Goals

        The virtual wheeling protocols are required to establish a framework for connecting buyers with multiple sites and sellers of electricity across the country. This complements traditional wheeling which typically connects large producers directly to large consumers. Virtual wheeling allows for multiple small consumers or consumers with several sites to connect.

        Summary

        Virtual wheeling makes it possible to execute contracts with purchasers like traders or corporate entities and use several generators of electricity to deliver to many off-takers, often smaller and low voltage customers. However, traders are not yet allowed to participate on Eskom's virtual wheeling platform until trading rules are finalised.

        Canvas not supported.

        Is it working?

        Eskom formally launched its virtual wheeling platform in June 2025 but reach has been limited. It has since awarded a contract Enerweb to scale the system. Enerweb's system will also be able to include traders, provided that relevant regulations such as the trading rules are also in place.We continue to monitor the reform's progress.

        Actions

        The release of a virtual wheeling framework was initially done in August 2023. Eskom launched its virtual wheeling platform in April 2025 and it is now active. Plans to scale the system through a contract with Enerweb are under way, as is the development of trading rules, with Operation Vulindlela estimating that they will be finalised by April 2026.

        Are there plans?

        Eskom intended to legally launch a virtual wheeling programme, which it has been piloting with mobile telecoms giant Vodacom, to the rest of the market by end-2024. Besides Vodacom, many other companies with ESG targets are looking to adopt virtual wheeling to guarantee access to renewable energy.There are plans to scale the system - which would then accommodate electricity traders.

        Is it on the agenda?

        The framework was released in August 2023.

        Goals

        The virtual wheeling protocols are required to establish a framework for connecting buyers with multiple sites and sellers of electricity across the country. This complements traditional wheeling which typically connects large producers directly to large consumers. Virtual wheeling allows for multiple small consumers or consumers with several sites to connect.

        Analyst: Lameez Hyman
        Status: in-progress
        Last Updated:
        Next Update:
        Reform Area:
        Reform:

          If you would like to alert our analysts to an update you are aware of in this particular reform area, please complete the form below and submit it to us. Please ensure you include links to any press releases or other documents to confirm the reforms and provide detail to allow our analysts to assess the changes. Our team will review it.