Eskom’s electricity tariff increase of 16% from April while the supply remains unreliable shows South Africans are getting a raw deal from the national power generator.

So says IRR Chief of Staff John Endres in reaction to this week’s high court ruling, which clears the way for the April increase.

The ruling allows Eskom to recover R10 billion it has spent from consumers, and follows the agreement on tariff increases between Eskom and the National Energy Regulator of South Africa (Nersa).

Nersa had previously appealed a ruling in July 2020 that would have allowed Eskom to boost its revenues by R69 billion over the next three years.

Endres comments: ‘Since load-shedding started in 2007/8, the cost of electricity has skyrocketed. It has far outpaced any increases in people’s incomes.

‘Yet even though we are paying Eskom more money each year, we still don’t have reliable electricity. South Africans are getting a raw deal, and the latest proposed increase – in an economy in deep recession, with millions out of work – merely adds insult to injury.’

Eskom, with a debt estimated at R464 billion, has stated on numerous occasions that tariffs are not enough to cover its costs.

The IRR has drawn up an Eskom Recovery Plan with a list of proposals aimed at making a start on solving the crisis at Eskom. The document is to be sent to Minister of Energy Gwede Mantashe.

South Africans are encouraged to sign the IRR’s #PowerToThePeople petition here.

[Image: jplenio from Pixabay]

3 COMMENTS

  1. ‘Since load-shedding started in 2007/8, the cost of electricity has skyrocketed.’
    Yes and what besides the theft and corruption caused it?

    It’s very simple, its exactly what has caused exactly the same issue worldwide. Every country that embraced the delusional RE Wind and Solar belief system has suffered the same issue. It is unreliable, unpredicatable and intermittent. It should never have been considered as a solution in the first place. It was always a fleecing mechanism for greedy corporates who produce nothing that can be used but expect to be paid for it. Complicit political favours are traded under a guise of “An IPP”.

    This is one of Eskoms big issues that are continiously ignored becasue there are crony capitalists at work who are leeches sucking on Eskom infrastructure all funded by consumers and Taxpayers Its simply constructed “Corporate Welfare”. All using the same socilalist backdoor PPP. Public Private Partnerships.

    The RE Wind and Solar Industry are the “freeloaders” on the “Grid” who are doing exactly that.
    Piggybacking onto Eskoms infrastructure, demanding everything whilst benefitting from everything infrastructure included as well as specially constructed PPA’s in their favour on top of that. The parasites are paid for a “constructed commodity” that cannot be delivered as and when needed , is not a commodity that is useable, however Eskom are forced by contracual obligations to take. On top of that Eskom provide the back-up, manage the load shedding to accommodate them too. Eseentially Eskom are paying at least twice for something that cannot use.

    This industry are the Industry parasites that Eskom need to get rid off. Then they need to get rid of the Cadre parasites and the political parasites. Unfortunatley de Ruyter is simply carrying out orders from the Shareholder who are enabling the feast by the leeches and parasites.

LEAVE A REPLY

Please enter your comment!
Please enter your name here