This is according to the National Energy Regulator of South Africa (Nersa) who concluded the last day of the Eskom public hearing today – the public hearings started on 30 October 2017 in the Western Cape.
The utility is requesting a 19.9% tariff increase for 2018, which has been described by the Nelson Mandela Bay Business Chamber as “crippling”.
Last day of NERSA public hearings on Eskom’s Revenue application in Gauteng, Decision on the application is planned to be made on 7 December 2017. pic.twitter.com/BnaZmhAkwa
— NERSA_ZA (@NERSA_ZA) November 20, 2017
The hearing was originally scheduled for 16 and 17 November, however the regulator decided to extend the public hearing due to the large number of registrants to present at the hearing.
Day 2 – NERSA public hearings on Eskom’s Revenue application continuing in Gauteng with more NGO’s and communities voicing their views. pic.twitter.com/ukhUtL5Aum
— NERSA_ZA (@NERSA_ZA) November 17, 2017
Tariff increase to have negative impact
In a September statement, the Business Chamber explained that an increase “of this magnitude as crippling in the current economic climate and, if implemented, the proposed increase could have disastrous consequences for local business and the economy.”
Nelson Mandela Bay Business Chamber President Thomas Schaefer said a 19.9% increase would be commercially devastating in the current economic climate. Read more…
The statement highlighted that “the 19.9% increase is expected to translate to a 27.5% municipal tariff adjustment on July 1, 2018.”
“Not only will such an increase be crippling, but in view of the recent disclosures and reports regarding rampant maladministration and governance failures at Eskom, business and commerce is compelled to continue in its endeavours to hold both Eskom and the Regulator accountable for their actions, in the interest of the public,” Schaefer said. Read more…