National Energy Efficiency Agency

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Postal Address
PO Box 786141
Sandton
2146

Telephone
+27 10 201 4700

Fax
+27 10 201-4820

The National Energy Efficiency Agency (NEEA) was officially established in March 2006 through a directive issued by the Minister of Minerals and Energy.

Located within CEF (Pty) Ltd as a wholly incorporated division, the Agency commenced operations on 3 April 2006 and will be subject to review in three-year intervals, in line with the national Energy Efficiency Strategy, which was approved by the Minister of Minerals and Energy in 2005.

The NEEA will initially operate under the CEF corporate umbrella but will over time develop its own unique identity within the CEF energy-focused environment.

The National Energy Regulator of South Africa (NERSA) has in the past few years, approved electricity tariffs that include a Demand Side Management (DSM) component, which is collected by Eskom and warehoused for use in both demand side management and energy efficiency initiatives.

Demand side management issues are not easily separated from Eskom’s normal business, but this is generally not the case when addressing energy efficiency initiatives. Consultations with various stakeholders were held over the last year to address this issue and it was agreed that the existing governance arrangements relating to the Demand Side Management Fund (DSM Fund) need to be reformed.

At the same time, and in view of the growing demand for electricity being experienced in the country, energy efficiency has become increasingly important.

It is envisaged that the NEEA will initially oversee the implementation of DSM and Energy Efficiency projects undertaken by Eskom and other entities in the country. The DSM funds however, will in the interim remain with Eskom as the main implementing agency, who will continue to manage these funds with the oversight of the NEEA governance body.

The key objectives and initial focus of the NEEA include the following:-

• The prioritisation and recommendation of energy efficiency and DSM projects to be undertaken in the country.
• Identification and development of key strategies, to address the growing demand for energy in the country, including gas, electricity, liquid petroleum, etc.
• Stimulate areas neglected in terms of energy efficiency in the past, such as the transport sector.
• Develop and implement comprehensive annual ‘Energy Efficiency and DSM’ awareness campaigns, to assist the general public in making wise choices when purchasing energy-consuming equipment and appliances.
• Oversee the integration and co-ordination of training in energy efficiency currently undertaken by various stakeholders in the country. The Agency will also facilitate skills transfer, capacity building and the creation of additional jobs in the field of energy conservation.
• Oversee the Measurement and Verification (M & V) of all energy efficiency and DSM projects undertaken by registered Energy Service Companies, (ESCo’s), through Eskom.
• Co-operate with persons, associations and institutions undertaking energy efficiency programmes in other countries, to ensure that international ‘best practices’ are adopted and applied in South Africa.