Features & Latest News
Friday, 22 January 2016 09:50

Eskom begged to cut costs instead of increasing tariffs

Eskom has been implored to cut costs instead of increasing electricity tariffs. The power utility has been lambasted at public hearings into an application for a further R22,8 billion from the National Energy Regulator of South Africa (Nersa).

Big businesses, unions and civil society organisations say this will result in a 16% electricity price hike if approved.

Nersa has heard claims that an electricity price increase could result in a bigger migration towards alternative energy sources. The Cape Chamber of Commerce and Industry’s Sid Peimer has questioned Eskom’s use of diesel, which ballooned from a projected R2 billion to R8 billion in just one year. The power utility has also been criticised for its many changes to top management over the past six years.

Nersa has cancelled the Eskom public hearings in Nelspruit, Bloemfontein and Polokwane due to a lack of interest. The Johannesburg hearings are scheduled for 4 and 5 February.  

Source: Eyewitness News

Link: http://ewn.co.za/2016/01/19/Eskom-begged-to-cut-cost-not-increase-tariffs