Why CEOs Cannot Delegate Legal Responsibility — And What Compliance Really Requires
Overview
In South Africa, the CEO and executive management carry non delegable legal accountability for the safety of electrical installations, gas systems, utility interfaces, and all associated occupational risks.
Even when technical tasks are delegated to engineers, contractors, or safety officers, the CEO remains responsible for ensuring compliance with:
• The Occupational Health and Safety Act, 1993 (OHS Act)
• Electrical Installation Regulations
• SANS 10142 1:2024 (Wiring Code)
• Pressure Equipment Regulations (PER)
• SANS 347 and SANS 10087
• Municipal gas by-laws
• Utility supplier regulations and interface requirements
If an incident occurs — an arc flash, electrical fire, gas leak, explosion, or equipment failure — investigators will require proof that management conducted audits, verified compliance, and ensured competent oversight.
This page explains the CEO’s responsibilities in clear business language, backed by statutory references.
1. The CEO’s Legal Duty Under the OHS Act
Accountability Cannot Be Delegated
Section 8(1) of the OHS Act requires the employer — meaning the CEO or the person with overall management control — to:
• Provide and maintain a safe working environment
• Ensure safe systems of work
• Ensure machinery and equipment are safe
• Enforce compliance with all applicable regulations
Delegation of tasks is allowed. Delegation of accountability is not.
If a subordinate fails to comply, the CEO must prove:
• Competent persons were appointed
• Clear instructions were issued
• Monitoring and verification occurred
• Audits were performed
• Non compliance was corrected
Without documented proof, the CEO remains liable.
2. Electrical Installation Safety & Arc Flash Risk
SANS 10142 1:2024 — The Wiring Code
This standard governs all low voltage electrical installations in South Africa and is legally referenced in the Electrical Installation Regulations. It requires:
• Safe design and installation
• Proper protection coordination
• Fault level calculations
• Arc flash hazard mitigation
• Inspection, testing, and certification (CoC)
Arc Flash Hazards
Arc flashes are violent electrical explosions caused by faults or incorrect switching. They can:
• Melt metal
• Cause fatal burns
• Destroy equipment
• Shut down operations
If an arc flash occurs, investigators will ask:
• Were fault levels calculated?
• Were breakers correctly rated?
• Was protection coordination done?
• Were audits performed?
• Did management verify compliance?
If any answer is “no,” the CEO is exposed to legal and financial liability.
3. Overvoltage & Undervoltage Protection
Utility supply disturbances — dips, swells, brownouts, harmonics, and switching faults — can damage:
•Electrical infra structure

• Motors
• VSDs
• Transformers
•  Control systems
•  IT infrastructure

SANS 10142 1 requires installations to include protective devices where necessary, such as:
• Surge protection (SPD)
• Overvoltage/undervoltage relays
• Proper earthing and bonding
• Correct cable sizing and breaker selection
Failure to protect equipment against foreseeable utility conditions is a breach of the OHS Act’s requirement for safe machinery.
4. Gas Supply Safety for Large Volume Users
Where natural gas, LPG, or industrial gases are used, the CEO must ensure compliance with:
• Pressure Equipment Regulations (PER)
• SANS 347 (pressure equipment classification)
• SANS 10087 (LPG installations)
• Municipal gas by-laws
• Supplier safety requirements
These regulations require:
• Competent gas practitioners
• Regular inspections
• Hazard identification and risk assessments
• Maintenance records
• Emergency procedures
Gas leaks and explosions are catastrophic events. If they occur, the CEO must produce evidence of compliance.
5. Mandatory Audits & Documentation
In any incident investigation, the CEO must provide documented proof of:
Electrical Compliance
• Annual electrical installation audits
• Arc flash hazard assessments
• Fault level calculations
• Protection coordination studies
• Certificates of Compliance (CoCs)
• Maintenance logs
Gas Compliance
• PER inspections
• Pressure equipment certifications
• Gas installation audits
• Leak detection records
Utility Interface Compliance
• Surge protection verification
• Voltage disturbance risk assessments
• Earthing and bonding inspections
Management Oversight
• Competent person appointments
• Contractor competency verification
• Safety instructions and policies
• Corrective action records
Without documentation, compliance cannot be proven — and liability defaults to the CEO.
6. Common Oversights by Executives
Most CEOs are unaware of the following critical risks:
Protection Coordination Failures
Incorrect breaker settings can cause arc flashes or equipment destruction.
Changing Fault Levels
Utility upgrades or load increases can make previously compliant equipment unsafe.
Gas Supplier Variations
Different suppliers may have different pressure characteristics or safety requirements.
Unqualified Contractors
A trade certificate does not guarantee competency for industrial systems.
Emergency Preparedness Gaps
Arc flash PPE, gas leak detection, and evacuation plans must be implemented and tested.
CEO Sign-Off Requirements
Many compliance documents legally require the CEO’s signature.
7. A Practical Compliance Framework for CEOs
A. Appoint Competent Persons
• Electrical engineer
• Gas practitioner
• Safety officer
• Authorised switching personnel
B. Conduct Mandatory Audits
• Electrical installation audit
• Arc flash and fault level study
• Gas installation inspection
• Pressure equipment certification
• Utility interface risk assessment
C. Verify & Document Compliance
• Review reports
• Sign off corrective actions
• Maintain records for 5+ years
D. Monitor System Changes
• New equipment
• Utility upgrades
• Load increases
• Process changes
E. Prepare for Emergencies
• Arc flash PPE
• Gas leak detection
• Evacuation plans
• Staff training
Conclusion
Electrical, gas, and utility safety are not technical issues — they are executive accountability issues.
South African law is clear:
• The CEO is responsible.
• The CEO must verify compliance.
• The CEO must keep records.
• The CEO must prove due diligence after an incident.
By understanding and acting on these responsibilities, CEOs protect their employees, their business, and their legal standing.