The Organisation Undoing Tax Abuse (OUTA) has criticised Johannesburg’s City Power pre-approval and registration requirements for small-scale solar installations, describing the process as unnecessary red tape that discourages private investment in energy security.

City Power has introduced a six-step process that includes approvals and inspections both before and after installation of solar systems.

OUTA said the requirements introduce avoidable costs, significant delays and additional administrative burden for residents and businesses responding to unreliable electricity supply and rising tariffs.

“Authorities should stop imposing processes that place unnecessary burdens on society,” said Wayne Duvenage, CEO of OUTA. “South Africans are investing their own money, within national safety compliance regulations, to keep the lights on. Adding layers of red tape only makes this harder.”

The organisation maintains that installations completed by qualified electricians and supported by valid Certificates of Compliance already meet national safety standards, making additional municipal processes unnecessary.

OUTA also raised concerns that previous small-scale embedded generation registrations submitted to City Power have gone largely unprocessed, questioning the effectiveness and intent of the registration system.

The criticism comes as Eskom extended its own solar system registration deadline from 31 March to 30 September following public resistance to the requirement.

Eskom will waive all registration and connection fees, including free smart meter installation worth up to R10 000 for urban and residential customers and R36 000 for rural customers, until the new deadline.

The utility said national regulations require all embedded generation systems under 100kW connected to the electricity network to be registered with the electricity supplier, whether Eskom or the local municipality.

The National Energy Regulator of South Africa (Nersa) also stated in a media release that while a Certificate of Compliance (CoC) confirms an installation meets electrical safety standards, registration ensures systems are connected in a way that protects the national grid.

Nersa said registration is not intended to discourage solar installation but to support responsible and safe connection of customer-owned generation.

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However, OUTA has opposed both Eskom’s and municipal registration requirements, arguing they lack legal and practical justification.

The organisation said the lack of alignment across municipalities is creating confusion and eroding public trust.

OUTA called on the City of Johannesburg, Eskom, the City of Cape Town and other stakeholders to revise their approach, prioritise safety and remove unnecessary administrative barriers.

To register with Eskom, customers need to submit a CoC, an inverter test certificate and a test report for the installation.

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