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Municipalities say the proposed Eskom tariff increase would pose a big threat to the economic stability – Eskom argues that hike will help the cash

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The National Energy Regulator of South Africa (Nersa) held public hearings on Eskom’s tariff hike application in Orlando, Soweto, on Tuesday.  Nersa has already approved a 4% tariff hike to help Eskom recover R8 billion in losses from the 2021/22 financial year, bringing the total proposed increase to over 40%.  Eskom’s multi-year plan also includes proposed tariff hikes of nearly 12% in 2027 and 9% in 2028.   Addressing Soweto residents, Eskom CFO Calib Cassim defended the application, saying it will help the cash-strapped entity to recover operational costs. Civil society movements, trade unions and political parties also made representations opposing the application. Thabiso Tema spoke with Calib Cassim, Eskom CFO.

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