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Consumers shouldn’t be subjected to Eskom’s proposed 20.5% tariff increase – Energy expert

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Energy expert, Clyde Mallinson says the maximum electricity tariff increase should be linked to the consumer price inflation rate.

Mallinson says consumers should not be subjected to Eskom’s proposed 20.5% tariff increase.

He says government should be more concerned with building better policies now to improve energy regulation in the future.

Mallinson was delivering a presentation at the public hearing into Eskom’s revenue application in Midrand north of Johannesburg.

“Dear National Energy Regulator of South Africa (NERSA) you have an opportunity now to make a pro poor ruling. To protect vulnerable South Africans from constantly spiralling electricity costs. Eskom must be funded from the Treasury to encourage the government to look at the policies that are causing Eskom to need more cash all the time.”

Eskom says the 20.5% tariff increase is necessary because it still needs to raise R6.5 billion for diesel to power the backup generators. But, the Minerals Council of South Africa says this increase will hamper the country’s economic recovery.

 

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