/ 2 April 2008

Energy regulator invites comment on Eskom tariff bid

The deadline for public comments on Eskom’s proposed massive tariff hike is April 29, and there will be a public hearing a month later, the National Energy Regulator of South Africa (Nersa) said on Wednesday.

Eskom, which was granted a 14,2% increase at the end of last year, is now seeking a 53% hike.

Nersa said it noted that the utility’s application had been submitted during the national electricity supply emergency, and for this reason wanted to speed up its processing.

”It is for this reason that the energy regulator has shortened the application processing time … without compromising the due process, which normally takes thrice as long,” it said.

Eskom lodged the application on March 18.

Nersa’s electricity subcommittee would consider a ”confidentiality request” by Eskom on April 7.

This would be followed the next day by the publication of a Nersa ”consultation paper” — an analysis of the application — and Eskom’s application.

The deadline for written comments from the public would be April 29.

The closing date for registering to attend or present material at the public hearing would be May 19, and the hearing itself was planned for May 23.

Four days later the subcommittee would meet to consider its recommendation to Nersa, and on June 6 Nersa would make its decision.

Nersa said it encouraged everyone to participate in the process by submitting written comments and attending, or making oral presentations at, the public hearing.

There has already been strong reaction to the proposed hike, which comes at a time of nationwide power cuts.

The Congress of South African Trade Unions and the African National Congress are among the major groupings that have come out against it.

Nersa said public comments on the proposal should be sent to Mtutuzeli Benya at eskomprice2008/[email protected]. — Sapa