The Organisation Undoing Tax Abuse (Outa) has detailed how portfolio director Ted Blom tripped up what it calls Eskom’s predatory critical peak day tariff.
The tariff in question would have seen South Africans paying as much as 400% more on their electricity bills on what Eskom deemed Critical Peak Days.
The application for this tariff was denied by the National Energy Regulator of South Africa in February.
These days would have been implemented in instances where Eskom had underestimated demand for power with a mere 12 hour warning.
Eskom argued that the tariff was a way to encourage reduced consumption on the days that it underestimated demand.
“It was simply a case of burdening the South African consumer with another complex tariff structure,” Blom argued.
“Blom lambasted Eskom for – among other things – ignoring the basic tenants (sic) of sampling and for not offering evidence of the sample questions or identity of population that was sampled,” said Outa in a statement.
The organisation adds that Blom also criticised Eskom for not considering the practical issues such a harsh tariff would have on SA consumers after taking more than five years to compile the proposal.[Image – Pixabay]