Electricity tariffs will increase by 9.6% from 1 April for Eskom customers and from 1 July for municipal customers. Eskom had initially applied to the National Energy Regulator of South Africa (Nersa) for a 20.5% tariff increase last year.
Nersa had to make its decision on Eskom’s application by 25 February, the High Court ruled late last year, following a dispute between the two parties.
In response to Nersa’s decision, Calib Cassim, Eskom’s chief financial officer, said: “The financial implications of this decision on Eskom’s long-term sustainability will need to be further understood. It is understood that Nersa considered the impact on consumers and the financial sustainability of Eskom as it made its decision”.
He said the Eskom board will “deliberate further before deciding on how to sustainably provide electricity to the extent possible in the context of this revenue decision”.
