Purpose of the Website

This website aims to provide municipalities and stakeholders with easy access to comprehensive resources and information regarding third-party wheeling of electricity. The website will host two options for Municipal Wheeling Guidelines – a Simplified Guideline and a Comprehensive Guideline. Additionally, it will offer various supporting links to various resources related to third-party wheeling, aiding municipalities in understanding, implementing, and benefiting from this energy management strategy.

Financial Gains

Third-party wheeling generates income through charges, supporting local development projects and infrastructure.


Fosters knowledge exchange and a supportive energy ecosystem.

Energy Security

Diverse energy sources enhance resilience against disruptions.

Green Initiatives

Promotes clean energy, aligning with sustainability goals.

Technological Advancement

Introduces advanced technologies, positioning the municipality as innovative.

Economic Growth

Encourages private investments, creating jobs and boosting the local economy.

Community Impact

Revenue supports local services like education, healthcare, and infrastructure.

Regulatory Compliance

Demonstrates commitment to regulations, attracting investment.

Strategic Leadership

Positions the municipality as an energy management leader, attracting stakeholders and investors.

Economic Decarbonisation and Sustainability

Aids in reducing carbon footprints and meeting sustainability targets

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Electricity Wheeling Explained

This video gives a simple overview of what electricity wheeling is, the benefits of wheeling, and how municipalities can facilitate wheeling to their customers.

Simplified Municipal Wheeling Guideline

Description of the simplified guideline, its benefits, and suitability for municipalities in the initial stages of considering wheeling.

Comprehensive Municipal Wheeling Guideline

Description of the comprehensive guideline, its in-depth content, and suitability for well-resourced municipalities.

Choose your Guideline

Explanation of how municipalities can choose between the simplified and comprehensive guidelines based on their needs, resources, and stages in the wheeling journey.

Choosing the Right Guide: A Simple Assessment

Selecting the most suitable guide is essential for a successful journey in third-party wheeling. Consider the following factors:

Where Are You on Your Journey?
· If you are at the exploratory stage, the Simplified Guide provides a solid foundation.
· If you are committed to implementation, the Comprehensive Guide is your companion.
Resource Availability:
· If resources are limited, the Simplified Guide offers a streamlined introduction.
· If resources are abundant, the Comprehensive Guide equips you for in-depth execution.
Plan Maturity:
· If your plan is in its infancy, the Simplified Guide helps shape initial steps.
· If you have a mature strategy, the Comprehensive Guide ensures meticulous execution.

Both guides reflect a commitment to success. Whichever option you choose, our support remains steadfast. Please feel free to look over the attached documents to make an informed decision that resonates with your municipality’s objectives.

Please note the information below is a collection of information available on the internet we are simply gathering it together in one central location to make it easier for you

Template – Simple Municipal Wheeling Guideline

A more summarised template guideline has been developed and is freely available

The EPP 2008 (DMRE)

A document that outlines the policy framework for electricity pricing in South Africa. It was published by the Department of Minerals and Energy in the Government Gazette on 19 December 2008.

The cost of supply framework 2016 (NERSA)

A document that provides guidelines for licensed electricity distributors to conduct cost of supply studies. It was issued by the National Energy Regulator of South Africa (NERSA) in March 2015.

Cost of supply practices

Resources to support municipalities improve their electricity cost of supply practices.

Guide for Municipalities on Assessing EG Applications 1MW and Larger

This guide provides a step-by-step overview of what municipalities must do to connect larger than 1MW generators to their distribution grids, including regulatory aspects, technical standards, and necessary documentation, etc. This is a useful guide for third-party energy providers that are interested in building embedded generators to wheel.

Eskom virtual wheeling

This refers to the accounting and financial arrangement where energy from a generator connected to the Eskom transmission network is virtually allocated and credited to an end-user without physical energy transfer. Refer to the Eskom Virtual wheeling guide

Eskom Wheeling Model

Eskom has developed a model to assist generators and offtakes to understand the charges payable under a wheeling transaction as well as assist to analyse the benefits that the offtaker will receive.

Wheeling in South African Municipalities Report

forms part of the Municipal Embedded Generation Support Program and is a collaborative effort by the South African Local Government Association (SALGA), Sustainable Energy Africa (SEA), the Western Cape Government, GIZ, GreenCape, Eskom and the AMEU.

Wheeling agreements

The Western Cape Government in partnership with Pegasys has developed a set of template wheeling agreements (along with a user guide) which municipalities can customize according to their needs. The templates include a UOSs agreement, a connection agreement, and an amended electricity supply agreement.

Wheeling Revenue Impact Model

The Western Cape Government in partnership with Sustainable Energy Africa have developed a spreadsheet model that calculates the impact of wheeling on municipal revenue.

EY WBCSD Pricing Structures for PPAs

The objective of this report is to provide an outline of different pricing structures (such as fixed, discount to market, hybrid and their sub-options) and provide commentary on risk impacts, regional variations and settlement considerations to help corporate buyers understand the potential options available to them.

EY Global View On New DSOs Business Models

This report, drafted by EY with input from Eurelectric DSO members, aims to map out the challenges and opportunities linked to the future role of DSOs in Europe. DSOs, on the other hand, are responsible for operating the lower voltage distribution network that connects the transmission grid to end-users. While DSOs do not typically have direct responsibility for balancing the grid, they do play a key role in ensuring the stability and reliability of the distribution network, as well as managing the integration of renewable energy sources at the local level. In some ways, a Distribution System Operator (DSO) and a South African municipality are similar, as they both play a role in the delivery of electricity to end-users.


The South-African German Energy Programme (SAGEN). SAGEN is focused on improving the implementation of policies and strategies to stimulate investments in renewable energy and energy efficiency.

Since 2011, the South African-German Energy Programme (SAGEN) has collaborated with South African government and private sector partners to promote a diverse and inclusive energy transition for all. The program‘s activities are closely coordinated and implemented with the DMRE, National Treasury, Eskom, SALGA, and municipalities.

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