SA tariff decision piles pressure on Eskom



Issue 250 - 14 Mar 2013 | 6 minute read

On 28 February, the National Energy Regulator of South Africa (Nersa) approved an 8% annual increase in tariffs for Eskom over the five years to 2018. In 2012, Eskom had considered applying for increases of 25% a year over a shorter period before submitting proposals for a 16% yearly increase. Nersa’s determination will mean that Eskom will not see cost-reflective tariffs – which are a stated aim of South Africa’s Electricity Pricing Policy – before 2018 at the earliest and leaves the giant utility little room to manoeuvre financially.

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