AfriForum makes SA’s voice heard about Eskom’s excessive power tariff

Today, AfriForum participated in Gauteng’s public consultation session on Eskom’s proposed power tariff increase and pointed out that consumers cannot be expected to accept an increase of 36,15% to rectify the long-standing mismanagement of the power supplier. Eskom has submitted its proposed tariff increase for the next three years to the National Energy Regulator of South Africa (Nersa). The public had until today to comment on it. In its formal comments, presented and submitted today, AfriForum opposed this excessive tariff increase.

AfriForum’s presentation underlines the serious economic and social consequences of Eskom’s proposed tariff increase and emphasises how the planned costs will disproportionately burden vulnerable communities, especially low-income households, who already spend a large part of their income on electricity. Moreover, rising electricity costs are the driver of cost-push inflation, which increases the price of essentials and exacerbates poverty and inequality.

“Consumers cannot be burdened with this unjustifiable increase, especially when it was caused by the gross mismanagement of Eskom over the past few years,” says Morné Mostert, AfriForum’s Manager of Local Government Affairs.

AfriForum also expressed its concern about Eskom’s inefficiency and serious governance failures. “Nersa must not only enforce stricter compliance with regulatory frameworks but also carry out due diligence at Eskom itself, which will ensure that only lawful and prudent expenditures are included in the tariff calculations,” adds Mostert.

As part of its efforts to oppose the proposed tariff increase, AfriForum also submitted a petition with numerous signatories at the public consultation session. AfriForum will carefully monitor the outcome of this process and act if unfair practices are observed.