South Africa eases anti-trust rules for firms facing high power costs

South Africa has relaxed anti-trust rules to let firms jointly build energy infrastructure and negotiate supply contracts, the trade minister said; the change is intended to help industries hit by sharply higher electricity costs.

South Africa has softened anti-trust rules to allow companies to collaborate on energy projects and contracts, a government notice said. Trade minister Parks Tau announced the measures as aimed at assisting distressed industries. Electricity costs have risen sharply in recent years and have strained energy‑intensive producers such as smelters and steelmakers. Key facts: - The amended rules permit firms to work together to secure backup or alternative energy supply, reduce energy costs and share sites, infrastructure, equipment and facilities. - The government notice said the changes are meant to help industries distressed by higher electricity prices. - Officials said they are also preparing a broader relief package, including possible lower tariffs from state utility Eskom; further procedural details were not specified. Summary: The regulatory change is intended to enable cooperation among energy‑intensive firms so they can jointly manage energy supply and costs, which relates to recent mothballing and job losses in some smelting and steel operations. The government has indicated a wider relief package is under consideration, including tariff measures by Eskom. Undetermined at this time.