Regulation and Legal

Mandate

To ensure that Eskom conducts its business within its licence to operate by ensuring good governance and compliance with current policy, regulatory and legal frameworks, and to influence the policy, regulatory and legal frameworks required in terms of achieving Eskom’s strategic objectives.

Operational overview

For information regarding Eskom’s corporate governance framework, refer to the “Leadership and corporate governance” section
(page 65) in the integrated report.

The development of the compliance funtion has been in line with the milestones set three years ago.

The focus for the 2013/14 year was to finalise the regulatory clearing account (RCA) application for the MYPD 2 period and thereafter to address the issues that needed close engagement with the National Energy Regulator of South Africa (NERSA) as a result of the MYPD 3 determination. The electricity sub-committee has made a recommendation on the RCA to the NERSA board and a decision is awaited in the first quarter of the new financial year. It is anticipated that this adjustment is likely to commence no later than 1 April 2015.