Wheeling FAQ’s

Wheeling FAQ’s is the page that gets the most hits on our site. There are so many rules and regulations surrounding where, what and how much, with regards to wheeling energy in and wheeling energy out. Below we have included the answers to the most frequently asked questions. If you are still not sure or have any questions please feel free to contact us and one of our energy experts will answer any other queries you still have.

1. How do I sign up for wheeling?
All interested MV or HV Large Power Users can contact
electricity.retail@capetown.gov.za or apply online at capetown.gov.za. One
of the City’s representatives will assist.
2. Is there a charge/cost to apply for wheeling?
No, currently there is no charge/cost to apply and sign-up for wheeling.
3. What types of wheeling does the City of Cape Town allow?
There are two wheeling scenarios, one being bilateral wheeling and the other
pooling wheeling.
 In bilateral wheeling, wheeling is only allowed from one generator to one
off-taker and already open to the public.
 Pool wheeling allows multiple generators to supply one or many off-takers.
The system is currently in development and a trial will take place within
the last quarter of 2025.
4. Who can participate in the pooling phase of the Wheeling Pilot?
Only the already-approved participants from phase 1 are allowed to
participate in phase 2, as this is one project.
5. How is surplus energy (kWh) dealt with?
Excess energy which is generated by the generator and not used by the offtaker, will be credited to the off-taker in the bilateral scenario or the trader in
the pooling scenario at the surplus energy feed-in rate, up to 5MVA.
6. How is the 5MVA surplus limit calculated?
In each half period, the difference between the energy supplied by the
generator and the energy consumed by the off-taker is calculated.
Supplied Consumption Surplus paid for Deficit.

City of Cape Town Bilateral Wheeling FAQs April 2025 Surplus Energy = 2MVAx0.5h + 3MVA x 0.5h + 5MVA x 0.5h = 5MVAh Deficit Energy = 1MVA x 0.5h = 0.5MVAh

7. What charges and credits are applicable to wheeling?  Deficit Energy Charge  Surplus excess credit  Use of System charges for all energy consumed  Administrative Charge

8. How does the wheeling tariff differ to the normal time-of-use tariff? The use of system charge plus the deficit energy charge equals the normal time-of-use charge. Therefore, the deficit energy used is charged at the same rate as a normal time-of-use for HV or MV customers.

9. What are the rules for wheeling?  Wheeling can take place from generators inside or outside of the City network, to off-takers connected to City network.  In Bilateral wheeling, wheeling is only allowed from one generator to one off-taker and already open to the public.  Embedded generators and off-takers need to be connected at 11kV or above (MV or HV).  The off-taker must have a Main Supply Agreement in place with the City of Cape Town and a deposit paid.  The off-taker must be on a time-of-use tariff.  The off-taker must sign a supplementary agreement with the City of Cape Town for Distribution Use of System.  For an embedded generator greater than 5MVA, a Generator Connection and Use of System agreement is required.

10. What tariff applies to a wheeling off taker? The wheeling HV or wheeling MV tariff as referenced in the City’s Electricity Consumptive Tariffs.

11. What are the criteria for new participants/traders who are interested in wheeling to a CoCT customer from an Eskom Connected Generator? Are there any specific requirements or qualifications?  Traders must be registered with NERSA  Traders must have concluded agreements with off-takers in the City of Cape Town network. The City of Cape Town does not need to see the agreement.  The City of Cape Town must receive communication from the off-taker that they will wheel from a trader generator.  The trader must contact Eskom and the City of Cape Town to amend the main electricity supply agreement between the City and Eskom. Eskom will provide Eskom-connected generator requirements. Contact neliswam@eskom.co.za from Eskom for further details

12. When is the phase 2 (Pooled wheeling) pilot set to commence? The pooling wheeling system is currently in development and the pilot is set commence is the last quarter of 2025.

13. Why is half-hour reconciliation used to reconcile energy wheeled?  International best-practice  Accuracy

14. What is the process for wheeling from a City-connected generator to Cityconnected off-taker?  Provide the details of the off-taker and generator and we will assess if these parties comply with the rules of wheeling.  The off-taker must sign a Wheeling Use of System (UoS) agreement with the City. There is no contract between the City and the Generator.  If the generator is connected the City’s network, no amendment to our supply agreement with ESKOM is needed.  Once the Wheeling UoS has been signed and if the generator is connected to the City’s network, the generator will be moved from an SSEG tariff to a normal TOU tariff as all feed in credits will be allocated to the off taker.  Once the tariffs have been changed and the agreements are in place and the first electron is generated by the generator, a credit will appear on the off-taker’s account.

15. What is the process for wheeling from an Eskom-connected generator to Cityconnected off taker?  Provide the details of the off-taker and we will assess if they comply with the rules of wheeling.  The off-taker must sign a Wheeling Use of System (UoS) agreement with the City. There is no contract between the City and the generator.  If the generator is not connected the City’s network, we have to approach Eskom to amend our supply agreement to receive the energy through our supply points. Please contact us and we will liaise with Eskom to carry out the process of amending our supply agreement.  Once the Wheeling UoS has been signed and our supply agreement with Eskom has been amended, all credits from Eskom due to the generation from a generator outside the City’s network will be allocated to the offtaker.  Once the tariffs have been changed and the agreements are in place and the first electron is generated by the generator, a credit will appear on the off-taker’s account.

16. Can I install a solar photovoltaic (PV) system and wheel to the City’s Network for their consumption? This scenario does not fall under the wheeling programme. Selling excess energy to the City is done through the small-scale embedded generation (SSEG) Feed-in tariff or the Cash for Power programme. For more information on selling excess electricity from your SSEG system visit www.capetown.gov.za/CashForPower