The document discusses developing a distributed generation/co-generation strategy in South Africa to support private sector participation in power generation. It outlines the benefits of distributed generation such as increasing energy security and efficiency. Barriers to distributed generation include the current electricity market structure and lack of regulatory frameworks. The document recommends establishing an explicit security standard for planning new capacity, using distributed generation to increase regional supply security, and developing policies to incentivize distributed generation projects.

1. ICUE CONFERENCE CAPE TOWN 29-30 May 2007 Mr. Nndwamato Mutshidza Deputy Director: Electricity Supply Contact Number: 012 – 317 8657 E-mail Address: [email_address] Developing a Distributed Generation/ Co-Generation strategy in support of the 30 % Private Sector participation in Power Generation Sector. Annexure G