Bukula Resigns from Nersa Chairperson Position

The National Energy Regulator of South Africa (Nersa) is set to experience leadership changes following the resignation of its chair, Thembani Bukula, who concluded his tenure on 15 June.

Bukula, who worked part-time while also serving as CEO of energy trader PowerX, informed Moneyweb that he stepped down to focus on his health.

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According to the office of Minister of Electricity and Energy Kgosientsho Ramokgopa, Nersa deputy chair Ria Govender will assume the chair position, in accordance with the Nersa Act, until a permanent replacement is appointed.

This change coincides with Ramokgopa initiating the nomination process for the full-time regulator member and CEO of Nersa.

Currently, Advocate Nomalanga Sithole holds the role, which is set to end in August. This is her first term, and regulator members can serve a second term if she is available and the minister chooses to reappoint her.

Bukula, a qualified engineer and former full-time regulator member for electricity, was appointed chair in 2022 and was nearing the end of his term.

He led the nine-member Energy Regulator Board, tasked with overseeing South Africa’s electricity, piped gas, and petroleum pipeline sectors.

Challenging time

Bukula’s tenure began shortly after President Cyril Ramaphosa launched the Energy Action Plan, which eliminated licensing requirements for private power generators.

This initiative hastened the growth of renewable energy and independent power producers, fundamentally altering South Africa’s energy landscape.

It also increased Nersa’s responsibilities, which suddenly required regulating a growing number of generators and traders while establishing new guidelines as the South African energy market liberalized.

Many decisions made by Nersa faced legal challenges and were frequently overturned during this trying time, as its resources were not expanded to meet the mounting demands.

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Hasha Tlhotlhalemaje, a former senior regulation manager at Eskom, described Bukula as a cornerstone of the industry whose absence will be distinctly felt.

“His insight and experience will be greatly missed. He is truly irreplaceable,” she stated. “We are saddened by his departure and wish him well.”

Vally Padayachee, an industry expert and advisor to the Association of Municipal Electricity Utilities (Ameu), reflected on his long professional relationship with Bukula.

“Bukula is a competent, dependable, and ethical individual who speaks his mind while maintaining professionalism,” Padayachee relayed to Moneyweb.

“He was ideally suited for this role as the electricity market evolved into a more competitive arena.

“It is a demanding role that requires mediation between diverse interests, and I believe he often lacked the necessary support as Nersa remained under-resourced,” he continued.

“It is unfortunate to see him leave Nersa, but we extend our sincere gratitude and best wishes.”