Where does all the money go?
Daylight Robbery — How Eskom fleeces South Africa
A four-person household should pay R290 a month for electricity, yet the power utility is charging them roughly R1,200, says a lobby group
The average four-person South African household should pay R290 a month for electricity, yet Eskom is charging them roughly R1,200, says a lobby group. Now Eskom is seeking a 20% tariff increase from the National Energy Regulator of SA (Nersa). Energy analysts have described Nersa, which starts its public hearings into the proposed tariff increase in Pretoria today, as the only thing preventing disaster. Presentations by the Organisation Undoing Tax Abuse to parliament’s public enterprises portfolio committee this week reveal the power utility should be relying on its capital expenditure budget and the government and not on ordinary South Africans to float it. Finance Minister Malusi Gigaba this month said the government was considering granting Eskom a favourable loan or possible bailout. StatsSA on Wednesday released its findings of Capital Expenditure by the Public Sector 2016 report, which showed that capital expenditure by public sector institutions rose to R284-billion from R2...
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