SA must stand up against 25.30% electricity price hike
At a meeting today NERSA confirmed the timeline according to which the application will be considered
THE electricity price could sky rocket by 25.30 per cent this year.
Eskom had applied for the selective reopening of the third multi-year price determination decision for the 2015/16 to 2017/18 period, which could result in this massive price hike.
At a meeting today (Wednesday) NERSA confirmed the timeline according to which the application will be considered. They will announce their decision on June 29.
The closing date for stakeholder comments is June 15, after which a public hearing will take place on June 23 and 24.
NERSA would like to encourage stakeholders and the public to actively participate in this process by submitting written comments and attending or making oral representation at the public hearing.
Written comments can be forwarded to mypd3@nersa.org.za or hand-delivered to Kulawula House, 526 Madiba Street, Arcadia, Pretoria or posted to PO Box 40343, Arcadia, 0083, Pretoria, South Africa. The closing date for written comments is June 15 at 4pm.
Eskom’s selective reopener application requires cost recovery of R32,9-billion for open-cycle gas turbines and R19,9-b for the short-term power purchase programme.
According to Eskom’s application, the selective reopener will result in a total price increase of 25.30 per cent for 2015/16.
This will consist of the 12.69 per cent approved by the energy regulator, the 10.10 per cent selective reopener for open-cycle gas turbines and the short-term power purchase programme, and a 2.51 per cent increase in the environmental levy by 2c/kWh.
Eskom submitted its selective reopener application for consideration by the energy regulator on April 30.
This follows Eskom’s conclusion of its consultation process with the South African Local Government Association and National Treasury.
Eskom’s MYPD3 selective reopener application is available on the NERSA website at: www.nersa.org.za
