South Africa: Today’s latest news and headlines, Monday, 7 August 2023 Photo: Twitter/ @samkelemaseko
Eskom reportedly applies for a whopping 32.7% tariff increase to NERSA
Eskom has reportedly applied to NERSA to increase the price of electricity by 32.7%. In January it applied for a 20.5% increase.
South Africa: Today’s latest news and headlines, Monday, 7 August 2023 Photo: Twitter/ @samkelemaseko
Despite the rolling blackouts, Eskom has reportedly applied to the National Energy Regulator of South Africa (NERSA) for a whopping 32.7% increase in the price of electricity.
In January this year South Africans were up in arms following another application by the national power supplier to increase the price of electricity by 20.5% for the 2022/23 financial year which began in April.
DA ON ESKOM’S PROPOSED 32% TARIFF HIKE
The Democratic Alliance (DA) said the power utility’s latest tariff application for a 32.7% increase in the price of electricity is immoral and an insult to South Africans who have endured possibly the worst load shedding schedule so far this year.
The DA said it will submit its objections to what it called an Eskom rip off once NERSA opens public comments on the 1st of August.
“South Africans are already struggling to stay above water due to rising costs of living and a high inflationary environment. For Eskom to add an additional high electricity tariff increase for a service that they cannot provide is simply unacceptable.
“Consumers cannot be expected to subsidise Eskom’s unviable business model and the ANC’s decades-long failure to open up the energy market to independent power producers.”
DA
The party added that NERSA should reject Eskom’s exorbitant tariff application because its first obligation is towards consumers – not Eskom.
SA COUD HAVE ANOTHER SOE
Speaking on the electricity crisis recently, President Cyril Ramaphosa, said the proposal to have a second power utility that would rival Eskom was initially made by Energy and Mineral Resources Minister Gwede Mantashe when the embattled parastatal was forced to implement stage 6 load shedding.
“Eskom has been operating as a monopoly for over 100 years and having one company taking up the role of providing energy to the entire country poses a great risk. If it [Eskom] fails, its failure becomes a peculiar failure for the entire country,” Ramaphosa said.
ALSO READ: Eskom anticipates load shedding ‘throughout next week’
