Legal updates and opinions
News / News
Update: Directions on resumption of maintenance and construction of energy projects
by Nozipho Bhengu, Director
The regulations issued in terms of the Disaster Management Act, 2020 (“Regulations“), which set out the relaxation of the lockdown restrictions under Alert Level 4, permitted the resumption of civil engineering services for public works projects (including water, energy and sanitation) and public works civil engineering and construction works. In order to provide certainty as to the specific services covered by the Regulations, on 15 May 2020 the Department of Mineral Resources and Energy published directions under the Government Notice No. 542(“Directions“) which provided much needed clarity as to which “civil engineering activities for public works” relating to energy and other additional services are permitted to recommence and continue under Alert Level 4. These specifically include:
- “Civil engineering for public works projects” in so far as it relates to energy, including the following:
(i) projects procured under the Renewable Energy Independent Power Producers Procurement Programme that are currently in construction;
(ii) embedded generation projects under construction and listed in Schedule 2 to the Electricity Regulation Act, 2006 (Act No. 4 of 2006) or licensed in terms of section 7 (1) of the Electricity Regulation Act;
(iii) Eskom new build programme which includes Medupi and Kusile;
(iv) the Department of Mineral Resources and Energy national sodas solar water heater programme and projects;
(v) energy efficiency and demand side management projects;
(vi) national electrification programme;
(vii) liquid fuels (including retails) projects under maintenance and construction;
(viii) liquid Petroleum Gas projects under maintenance and construction; and
(ix) nuclear projects under maintenance and construction in power stations and other nuclear facilities.
In addition, the above, the Directions also confirmed that the following services are permitted under Alert Level 4:
- all professional entities that provide licences, approvals and authorisations for the maintenance and construction of energy projects;
- all professional planning, costing and design work that supports construction work on sites, in anticipation of incremental work on construction sites;
- contracted suppliers, contractors and consultants who need to travel across borders to attend to projects; and
- energy construction work for already priced and awarded government tenders.
Latest News
Remuneration of employees in different provinces
Duma v Minister of Correctional Services & others ISSUE Whether the failure to pay an employee in one [...]
Non-striking employees not to be locked out: limitations of the employer’s right to lock out
Transport and Allied Workers Union of South Africa v PUTCO Limited [2016] ZACC On 8 March 2016, in the [...]
Criminalisation of cartels: a potential cure with side effects
Competition authorities particularly in the United Kingdom, the United States and Australia have enacted and entrenched criminal penalties for cartel behaviour. [...]
How to compensate the victims of collusion
In the sphere of competition law, anti-competitive practices can have a detrimental effect on an economy and the performances of [...]
The potential for competition law enforcement to revive and promote faster economic growth in South Africa
On 2 February 2016, the World Bank released its annual economic update report, titled “South Africa Economic Update, Promoting Faster [...]
2016/2017 budget proposals – Tax overview
INTRODUCTION The trend that began three years ago of a reduced number of substantive amendments announced in the [...]
