Fighting Eskom’s price increase

From Page 1 Salga continued: “Given the astronomical increase in the price of electricity in recent years, electricity has become expensive and unaffordable for many, with the resultant loss of revenue for municipalities." ”Ultimately, the loss of revenue stifles municipalities’ ability to fulfil their constitutional obligations,” Salga cautioned, adding that price levels should assume an efficient and prudent utility and should be based on the least cost options and exclude inefficiencies in terms of the Electricity Pricing Policy. Salga also indicated that Nersa should have assessed Eskom’s operational and financial efficiency. “We are also of the view that when taking the decision, Nersa failed to take into account or apply its mind to fundamental issues impacting Eskom’s efficiency and prudence as required by the Electricity Regulation Act,” the association stated.…