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Eskom to progress despite Nersa rejection

Eskom to progress despite Nersa rejection

Power utility Eskom has expressed its disappointment after the National Energy Regulator of South Africa’s (Nersa) yesterday rejected its approval for a 9.58% hike in the price of electricity tariffs for the 2015 / 2016 financial year.

In passing his findings, Nersa Chairperson Jacob Modise said the struggling state-owned parastatal failed to provide clarity on a number of key points with the most prominent being a lack of info regarding long-term planning, and uncertainty over multi-year pricing determination (MYPD).

“Based on the available information and the analysis performed, the energy regulator decided not to approve Eskom’s application,” Modise said, adding that a new application would only be accepted from April next year.

“We do have the budget for diesel but it’s not enough to carry us through for the entire year. Our plan is not to blackmail the country or have load shedding in the first place, so we will have to sit down with the shareholders and see as to how we can take this thing forward,” Spokesperson Khulu Phasiwe was quoted by Eyewitness News as saying.