Eskom seeks another tariff increase

The power utility has asked the National Energy Regulator of South Africa to approve a 15% hike effective from 2019.

Picture: EWN.

JOHANNESBURG - Eskom says it simply isn’t able to recover costs for producing electricity, which is why it has applied for another tariff increase.

The power utility has asked the National Energy Regulator of South Africa (Nersa) to approve a 15% hike effective from 2019.

Recently a 4.1% increase was approved, which will kick in from April 2019.

However, Eskom's general manager for regulation Hasha Tlhotlhalemaje says it’s to recover costs from previous years.

“The 4.1% is basically backward, looking that we had to borrow to be able to provide the necessary electricity for those particular years. Now, this application is looking forward from the 2019 year onwards.”

LISTEN: Eskom applies for tariff increase

(Edited by Zamangwane Shange)