Salga slams Eskom tariff hike
Plea to regulator not to allow utility’s inefficiencies, as reflected in application, to be passed on to consumers
Eskom’s proposed 27.29% tariff increase for municipalities in 2018 was "unaffordable and indefensible", the South African Local Government Association (Salga) told the National Energy Regulator of SA (Nersa) at the public hearings into Eskom’s tariff application on Monday. Salga’s members include metros and municipalities. Eskom’s existing tariff agreement ends on March 31 2018. The regulator applies a detailed methodology in assessing Eskom’s application and has frequently slashed the tariff requested on the basis of inefficiencies in Eskom and what is considered allowable revenue. On the first day of the hearings, Nhlanhla Ngidi, Salga’s electricity expert, expressed doubt over the validity of the large increase request.
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