ENERGY: Eskom Gets 24.8%
Recent Gauteng Business News
The National Energy Regulator of South Africa (NERSA) at its meeting held on Wednesday, 24 February 2010, approved an allowed revenue of R 85bn for 2010/11, R 109 bn for 2011/12 and R 141bn for 2012/13. This will result in a percentage price increase of 24.8% on the average standard tariff from 1 April 2010 followed by another average increase of 25.8 % from 1 April 2011 and a further price increase of 25.9 % from 1 April 2012.
On 30 September 2009, the National Energy Regulator of South Africa (NERSA) received Eskom’s Revenue Application (Multi-Year Price Determination 2 [MYPD2]) requesting average annual price increases of 45% per annum over the MYPD2 period.
In that application, Eskom was requesting revenues of R99bn, R146bn and R216bn for MYPD 2 period. On 30 November 2009, NERSA received a revised Eskom application requesting an average price increase of 35% per annum over the MYPD2 period. In the revised application, Eskom was requesting revenue of R98 billion, R132 billion and R180 billion for MYPD 2 period.
The revised application was received by NERSA after Eskom received comments from the National Treasury and the South African Local Government Association (SALGA) as per the requirements of the Municipal Finance Management Act (MFMA).
The decision-making process included the application being published for comments and conducting public hearings in all nine provinces at which affected parties and the applicant made presentations.
A total of 427 written comments from stakeholders were received. These were comments from private individuals, small users, intensive users, government departments, political parties, trade unions and other stakeholders. A total of 85 oral presentations were made by various stakeholders during the public hearings.
Business News Sector Tags: Energy|