The official launch of the National Transmission Company South Africa as an independent subsidiary of Eskom Holdings did indeed represent an important milestone in the restructuring of South Africa’s electricity industry for the changes under way domestically and globally.

It is equally important to recognise, however, that the launch is but one step ahead of the emergence of a fully independent transmission system operator.

Many more steps are still needed if South Africa has any hope of navigating the massive technological changes that will shape the way electricity is produced and consumed for at least the next half century; probably longer, given the long lifetime of the assets involved.

To cope with this emerging reality, which will continue to evolve over time, transmission and distribution grids will be critical for orchestrating a system where the whole is greater than the sum of its parts.

This is particularly important, given an emerging context where there will be far more parts, increasing both the level of interconnectedness and complexity.

This new system will include conventional as well as entirely new participants and markets, which will be reliant on the skills, assets and foresight of the transmission and distribution system operators to ensure stable and cost-effective operations.

There are already signs of this new system emerging, with Eskom confirming that behind-the-meter connections, including commercial and residential rooftop solar PV systems, currently stand at above 6 000 MW, with 3 800 MW having been connected over the past two years alone.

This represents a big change for system operators and one that is going nowhere.

Indeed, the International Energy Agency indicates that solar PV will account for 80% of the anticipated 5 500 GW of renewables to be added globally by the end of this decade.

The agency adds that this will be made up of utility-scale as well as rooftop solar PV systems installed by households and companies seeking to reduce their electricity bills.

Without grid investment, including digitalisation investment, and the addition of flexible generation this shift could be highly disruptive.

For South Africa, we are already seeing the stresses in the high levels of non-payment by municipal distributors to Eskom and the rise in illegal connections.

Instead of resisting these changes, those in charge of managing our grids would be well advised to embrace them, while demanding that they are given the legislative and regulatory tools to equip themselves properly for these changes.

In the short term, this requires the enforcement of the Electricity Regulation Amendment Act.

While misgivings of municipal distributors about the Act should not be dismissed, it is crucial that South Africa begins operating under this new legislative framework, without which the associated regulatory changes needed for modernisation will not be forthcoming.