Eskom says energy regulator Nersa is to blame for the 36% price hike it has applied for.
Eskom has blamed the National Energy Regulator of South Africa for a large part of its requested electricity tariff hike for 2025.Eskom’s latest multi-year price determination application for the 2025/26, 2026/27, and 2027/28 financial years towards the end of last week.
Eskom argues that the first ten percentage points of next year’s increase was due to Nersa denying the power utility the massive price hikes it applied for in the past, Although Nersa has indeed curbed Eskom’s allowed increases, it still approved significant electricity tariff hikes over the past few years, well beyond the rate of inflation.
Firstly, the cost of producing goods and services is highly variable. Secondly, a company with a monopoly can claim costs that are out of touch with those in markets with healthy competition.
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