On Monday, Eskom shared the rationale for its average annual electricity increase application of 15% for three years under the fourth Multi-Year Price Determination (MYPD4) and Regulatory Clearing Account (RCA) balance application for 2018 made to the National Energy Regulator of South Africa (NERSA).

Eskom’s executives presented their case to stakeholders attending the Cape Town leg of the public hearings undertaken by the regulator that will be held across the country over the next three weeks.

According to the group chief executive, Phakamani Hadebe, Eskom understands that an increase in the tariff may be difficult at this time. However, he emphasised that “not being granted a suitable increase could lead to an unsustainable financial position for Eskom”.

Source: ESI Africa