OUTA responds to AMEU position paper on SSEG installations: Municipal enforcement must align with national legislation

The Organisation Undoing Tax Abuse (OUTA) has reviewed the Association of Municipal Electricity Utilities (AMEUs) recent position paper on safety compliance for Small-Scale Embedded Generation installations under 1 MVA.

Public and electrical workers safety is non-negotiable. However, the AMEU paper unfortunately contains several incorrect interpretations of legislation and introduces requirements that fall well outside the scope of municipal authority. This risks misleading municipalities, installers and consumers, and undermining established regulatory processes.

The AMEU claims that its paper is based on credible consultation with subject matter experts. Yet it provides no list of contributors and no indication that the recognised technical committees legally responsible for developing electrical safety regulations and standards were consulted. Without transparency on inputs or technical mandate, municipalities, electricians and users cannot know whether AMEU’s guidance represents industry consensus or a narrow internal view.

National legislation already establishes the regulatory structure for electrical installations, which include SSEG, through the Electrical Installation Regulations and the incorporated national standards. Under the Occupational Health and Safety Act, only the Minister of Employment and Labour may create regulations under the Act and the South African Bureau of Standards (SABS) may create technical requirements for electrical installations, within a premises. The Chief inspector, through regulation 10 of the EIR, is the only dispute resolution through the interpretation of a standard. Municipal associations such as the AMEU have no such mandate and may certainly not substitute their own interpretation for the national laws, regulations and compulsory standards already in place. Municipal functions are limited to receiving notice of alternative supply and requesting the CoC as required by Regulation 8(1) and Regulation 7(4). These actions do not grant discretionary approval powers.

One of the more concerning claims in the AMEU paper is that municipalities may require additional approval processes or “separate inverter commissioning documents” beyond the Certificate of Compliance (CoC). This contradicts the Electrical Installation Regulations of the Occupational Health and Safety Act, which give Registered Persons the sole authority to inspect, test and certify electrical installations. A valid CoC confirms legal safety compliance for the entire electrical installation. Municipalities are not enforcement authorities under the Act and may not replace or override the Registered Person’s certification. Refusing connection or effecting disconnection on safety grounds where a valid CoC exists would be a direct violation of the Regulations and an unlawful interference in the statutory duties of a Registered Person.

The AMEU also claims that the withdrawal of SANS 10142-1-2 has created a gap in the standards governing SSEG installations. This is incorrect. South Africa has already adopted IEC 60364-7-712 as the applicable generation-plant standard by direct normative reference within SANS 10142-1. In addition, SANS 10142-1 contains clear requirements that address DC(PV) installations and inverter integration. There is no vacuum in the regulatory framework, and certainly no need for municipalities to introduce interim engineering sign-offs or parallel safety systems.

The paper treats NRS 097 series of specifications as compulsory safety standards. They are not. NRS documents are utility specifications. They are not incorporated into national legislation and cannot be enforced on the public. They also cannot be used to impose additional municipal requirements, especially not on residential SSEG systems that do not export electricity into the network. Treating NRS specifications as binding or mandatory standards causes confusion and places unlawful burdens on consumers and installers.

The paper further misstates the registration requirements in the Electricity Regulation Act (ERA) by claiming that all systems under 100 kVA must register with the relevant licensed electricity distributor. The ERA makes it clear: the Act does not cover SSEG systems up to 100 kVA; off-grid and standby SSEG systems are exempt from registration; SSEG systems up to 100 kVA that do not export electricity into the network are exempt from registration; and SSEG systems above 100 kVA require registration with NERSA(the Regulator). Municipalities cannot convert exempt SSEG systems into registrable ones, and municipalities may not invent new processes as policies under the guise of safety.

Safety must always remain a shared priority. However, improvements to safety must occur within the regulatory and enforcement framework established by national legislation.

Municipalities may request a CoC and may inspect supply-related infrastructure where the Regulations permit it. They may notify the Department of Employment and Labour if an installation appears unsafe. They may not redefine competence, introduce parallel approval or compliance systems, or rewrite the safety obligations already set out by law.

OUTA urges the AMEU to engage constructively with the broader electrical installation industry by participating in an inclusive stakeholder forum that brings together the relevant authorities, technical experts and sector bodies. This engagement is expected to take place through the South African Quality Control Council Electrical (SAQCC Electrical), which will facilitate a collaborative national meeting with representatives from municipalities, the Department of Employment and Labour, SABS, Eskom and recognised industry associations. Establishing this shared platform will help ensure that future guidance and decisions reflect the collective expertise of the sector and are aligned with national legislation and standards.

OUTA remains committed to promoting lawful, rational and transparent governance in the electricity sector. A stable and credible regulatory environment is fundamental to public safety, investor confidence and the success of South Africa’s shift toward a more secure and decentralised energy system.

More information

A voicenote with comment by OUTA CEO Wayne Duvenage in English is here and by Advocate Stefanie Fick, OUTA Executive Director for Accountability, in Afrikaans is here.