News: Eskom proposes a 19.9 electricity tariff increase

Eskom, is proposing that its consumers pay 19.9% more for their power from 1 April 2018. In addition, the proposal seeks 27.3% more from municipalities for bulk electricity purchases from July 1 2018


Eskom, is proposing that its consumers pay 19.9% more for their power from 1 April 2018. In addition, the proposal seeks 27.3% more from municipalities for bulk electricity purchases from July 1 2018

According to Fin24 reports , Eskom which is on the verge of insolvency had only R1.2 billion left in liquidity reserves. Eskoms crises had beeen caused by a governance and management crisis that is scaring off investors.

Speaking at the final public hearing in Gauteng, Eskom Interim Group Chief Executive Sean Maritz said, “We continue with our intense debt collection strategy to recover unpaid debt from all customers, including Soweto and defaulting municipalities.

The energy regulator, Nersa, still has to announce the tariff increase for 2018/19 and implement the Regulatory Clearing Account (RCA) clawbacks, Treasury reportedly said.

JOHANNESBURG, SOUTH AFRICA - JANUARY 15: Eskom executive Matshela Koko during a media briefing about the state of affairs at Eskom on January 15, 2015 in Johannesburg, South Africa. Eskom has admitted that because of poor management by the power utility the country should brace itself for load shedding for the next five years. (Photo by Gallo Images / Mail & Guardian / Madelene Cronjé)

Nersa is currently holding hearings into Eskom’s proposed increase of 19.9 percent.

 

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