NERSA

Piped-Gas Overview

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Overview

The Energy Regulator is responsible for regulating the piped-gas industry in accordance with the provisions of the Gas Act, 2001 (Act No. 48 of 2001). It is supported by the Piped-Gas Division. The division is also responsible for supporting the Energy Regulator in the administration of the Mozambique Gas Pipeline Agreement between the government of South Africa and Sasol Limited.

The Piped-Gas Division consists of the following departments:

Gas Licensing Compliance and Dispute Resolution which is responsible for:
  • Issuing of licenses for  the construction and operation of piped-gas facilities
  • Gathering information on all piped-gas activities throughout the country to assist with planning to ensure orderly infrastructure distribution and development and security of supply
  • Producing annual reviews on the status of the piped-gas industry
  • Collaborating with the Department of Mineral Resources and Energy and contributing towards the Integrated Energy Plan for the energy sector
  • Monitoring the developments in terms of possible new energy sources
  • Identifying instruments and tools to facilitate investment in the piped-gas industry
  • Facilitating the promotion of the interests of HDSA’s in the piped-gas industry
Gas Tariffs and Compliance which is responsible for:
  • Enforcing the Agreement and the Gas Act using indicative studies and other legal instruments
  • Monitoring and approving of gas transmission and storage tariffs
  • Imposing maximum prices for all prices of customers
  • Account separation and regulatory accounts
  • Gas reserves and calculation of dispensation period
  • Enforcing third party access policies
  • Metering of gas entering South Africa
  • Transmission network code
  • Public safety
  • Monitoring compliance with licence conditions
Gas Competition and Market Analysis, which is responsible for conducting:
  • Periodic reviews of the adequacy of competition in the gas industry in terms of section 21(1)(p) of the Gas Act, 2001 (Act No 48 of 2001)
  • Periodic reviews of the Framework for the assessment of competition in the gas industry
  • Competition analysis during applications for maximum prices of gas
  • Competition analysis during licence applications
  • Competition related investigations in terms of sections 31 and 4(d) of the Gas Act, 2001 (Act No 48 of 2001)
  • Periodic research on international developments in competition law and related matters