The power utility’s application to the National Energy Regulator of South Africa (Nersa) for a 16.6% tariff increase ‘marked a new level of arrogance and contempt for the public’, says the Cape Chamber of Commerce.
Eskom says it needs R27 billion from consumers next year to meet its needs.
But president of the Cape Chamber of Commerce and Industry, Geoff Jacobs, said in a statement: ‘Eskom’s application for a 17% electricity tariff increase to compensate it for the millions of rands it lost by imposing the recent power cuts marked a new level of arrogance and contempt for the public.’
‘Despite the tariff application, Eskom has already received other forms of financial assistance.
‘But, they are in for a shock. Just as email has dealt a body blow to letter writing, and cellphones are slowly but surely edging out landlines, there will come a time when massive state-owned power utilities run by overpopulated bureaucracies like Eskom will meet the same fate,’ Jacobs said.
He added: ‘It would be better to recognise the inevitable and unbundle Eskom now, rather than allow political thinking to trump economic reality. There is no other way to stop its massive drain on the public purse and to end its damage to the South African economy.’