Numsa: Eskom tariff hikes will be disastrous for poor, working-class people

Nersa announced this past week that the cash-strapped power utility would be granted a 9.41% tariff hike from the start next month followed by an 8.10% rise next year and 5.22% in 2021.

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JOHANNESBURG - Workers union Numsa says it rejects the decision by the National Energy Regulator to grant Eskom a tariff increase over the next three years.

Nersa announced this past week that the cash-strapped power utility would be granted a 9.41% tariff hike from the start next month followed by an 8.10% rise next year and 5.22% in 2021.

The move follows months of public hearings across the country where several civil society and businesses argued that they could not afford another tariff hike.

Eskom has been calling for an increase for some time, saying it's struggling financially and needs a tariff increase to keep the lights on.

Numsa's spokesperson Phakamile Hlubi-Majola said: “Any increase, no matter how small, would be disastrous for the working-class and poor who are already unable to afford electricity at the current rate. This will deepen the crisis for smaller industries and we’re likely to see retrenchments as a result of this decision.”

(Edited by Shimoney Regter)