Earlier this month, the National Energy Regulator of South Africa (Nersa) approved a 9.4% price hike in the electricity price for Eskom and the hike is set to come into effect on 1 April – this Friday.
But the Organisation Undoing Tax Abuse (Outa) will be making an application to the North Gauteng High Court to stop the implementation at the end of the week.
The organisation says that it needs to know the details surrounding the granting of the price hike, before things can go ahead.
“In answer to OUTA’s request to supply the public with the reasons for its decision to grant ESKOM a 9.4% increase, NERSA has declined to provide details around their decision that gave rise to the implementation of the higher tariff,” Outa said in a statement.
“In their response to OUTA, NERSA cited possible “confidential” information which it must first clear with ESKOM, before they are allowed to release parts of the information to the public.”
The organisation, which also fights the etolls implemented by Sanral, will be in court on the 31st March to state their case.
“We have concerns regarding the lack of transparency and manner in which NERSA arrived at their decision to approve the tariff,”says Ivan Herselman, Director of Legal Affairs at Outa. “We simply had to react and challenge NERSA’s approval of the increase, and Eskom’s implementation thereof, whilst the public is being left in the dark as to why this has been approved.”
He also told Eyewitness News that Eskom should only get a 3.4% increase, and not 9.4%.
But as far as Eskom is concerned, the power utility will go ahead with the implementation of the price hike – unless the court orders it not to.
Eskom’s Khulu Phasiwe told Eyewitness News that Outa is within its rights to approach the court, and it will present its case if needed.
“If they want to explore other means, including the court, they are within their rights to do so. If we’re asked by the court to come and present our case, we will do so,” Phasiwe said.
[Image – CC by 2.0/Sarah Macmillan]
