eThekwini mayor, James Nxumalo has raised concern about Eskom’s proposed electricity tariff increase, which is addition to the 14,25% already been granted by the energy regulator Nersa.
If the increase is granted, this could put the total electricity increase at 25,3%.
“We do not support the proposed additional increase as it could have far reaching consequences and would negate our efforts to fast-track development and service delivery. We believe that the proposal could,” Nxumalo said in a statement.
He said the increase could leave the poorest of the poor worse-off, have negative consequences in efforts to attract investments to the city and lead to an increase in the theft of electricity, since it would become a very expensive commodity which could be out of reach for the poor.
“While we understand the situation that is currently faced by Eskom and we are working together with the utility to maintain the power grid, we however do not believe that such a hefty increase would be the correct solution. As part of organised local government we will work together with the South African Local Government Association (Salga) to address the matter through appropriate intergovernmental platforms,” he said.
A round table discussion is being held at Moses Mabhida Stadium with stakeholders, including businesses today, Friday, 27 March to ways in which to deal with energy challenges.
