KLCBT opposes Eskom’s application for a 19,9% rate increase at hearing

Author: | Published by KLCBT on at 11:29:11 | Last Updated On: 16 November 2017

During an official hearing conducted by NERSA, KLCBT and 11 other entities presented evidence under oath, to substantiate our objection to the 19,9% increase in Eskom’s allowable revenue in 2018.

After sketching the background of the increasing poverty rate of our region, KLCBT presented six points to object to the 19,9% increase. These were:

  1. Incorrect calculation of the increase percentage;
  2. Over supply of electricity should not be the burden of the consumer;
  3. Effects of corruption in Eskom cannot be ignored;
  4. Government intervention is required as Eskom is critical to the SA economy;
  5. A price hike is in contradiction with Eskom’s core strategies;
  6. Electricity is a high cost component of business.

The NERSA panel was very impressed with the arguments and requested additional explanations about the calculations in particular.

Download full presentation:  Presentation to NERSA 10 Nov 17

Eskom’s media statement after hearings:  Media Statement – Eskom to take bold steps to shift the companys reputation towards a positive change – 16 November 2017