Eskom wants hike for next three years

13 October 2009

Electricity parastatal Eskom wants a 45 percent tariff hike every year for the next three years.

This is according to its Multi Year Price Determination submission document to the National Energy Regulator of SA which was handed to the media before a briefing in Johannesburg on Tuesday.

There were other options, but Eskom recommended this option be considered as it "mitigates the impact of price increases on customers and the economy and provides for a sustainable long-term solution".

The parastatal said government had endorsed this approach which was based on the smoothing of price increases.

The second option, not recommended by Eskom, was an increase of 146 percent in the first year of the Multi Year Price Determination period.

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