Pixabay
Nersa’s granting of an 18.65% electricity tariff increase to Eskom will be detrimental to the Nelson Mandela Bay local economy.
That’s according to the CEO of the Nelson Mandela Bay Business Chamber, Denise van Huysteen, who was commenting on Nersa’s announcement on Thursday.
She said it would impact the sustainability of small and big businesses in the Metro.
“Eskom is essentially making consumers pay for their own inefficiencies, including their failed R350 billion investment in the Medupi and Khusile power stations, the R45bn plus outstanding payments by Municipalities, and the rampant theft of electricity,” Van Huysteen said.
She said instead of “overburdening” consumers and businesses reeling from the ongoing effects of rolling blackouts, Eskom should focus on addressing their own inefficiencies and operating costs and “developing and implementing a rescue plan.”
Van Huysteen said it is untenable for consumers and businesses, already under immense pressure, to continue to pay more and more for electricity, particularly when there is no clear plan in terms of how Eskom will get the country out of this crippling crisis.
Meanwhile, there has been an outpour of reaction from various political parties including the DA, EFF and ATM.
The EFF says it is outraged that the National Energy Regulator of SA has granted Eskom an electricity price hike.
National spokesperson, Leigh-Ann Mthys says given the fact that over 18 million South Africans are living in extreme poverty and the country is in the middle of rolling out power cuts Nersa has failed in its mandate of upholding fair energy prices.
"Further, over the past 10 years it has allowed a 753% increase in electricity costs, Nersa has failed to protect us as South Africans from the thieving, incompetent ANC Government," she added.
The DA said it would explore the option of mass action against the incapable ANC-led government.
MP, Ghaleb Cachalia says Nersa had chosen to protect itself from further litigation by Eskom and agreed to grant this exorbitant price increase.
Cachalia says the DA has sought out an urgent meeting with President Ramaphosa but if he doesn't satisfy the needs of the nation then the party will explore taking mass action.
Meanwhile, the African Transformation Movement says it is appalled by the mismanagement of Eskom and the subsequent massive and unending power outages on the South African population.
It says it is also appalled by the fact there is nothing tangible that has been done by the National Energy Crises Committee which was established by President Cyril Ramaphosa in August last year.
Spokesperson, Zama Ntshona says it is a clear indication that the Government does not have a solution when it comes to the current crisis.
