By Lehlohonolo Lehana.
Regulatory members of the National Energy Regulator of South Africa (Nersa) were scheduled to decide on Eskom’s multiyear tariff increases for the 2023/24 and 2024/25 financial years on Tuesday (29 November) – but the items on the agenda were withdrawn due to apparent miscalculations.
A member of Nersa’s electricity subcommittee, Nhlanhla Gumede, submitted at the beginning of the meeting that the three items regarding Eskom’s multiyear price determination revenue application be withdrawn.
“It has unfortunately been identified that gremlins slipped into the calculations, and we need to make sure that, as a regulator, when we make decisions, we make a decision based on correct numbers,” Gumede said.
“We would like to request as the electricity subcommittee, with apologies to the energy regulator members and the public, that we would like those items to be withdrawn and that they would be brought back for a decision before the end of December,” he added.
The regulator members were expected to rule on whether Eskom is entitled to recover 32% more revenue from South African electricity users next year and, if not, how big an increase it will allow.
The members were also expected to announce the tariff increase in the subsequent year, for which Eskom applied for a further 10% increase.
In response to this last-minute withdrawal, the Democratic Alliance (DA) urged Nersa to convene an urgent press conference within the next 24 hours to give the real reasons for the postponement, “not the gremlin fairy tale that they gave”.
“To preserve the regulators’ integrity and independence, it is important that Nersa commissioners come clean and be honest with members of the public,” the party added.
The party noted that halting the decision casts a cloud over the regulator’s statutory integrity – adding to suspicions created by Nersa missing its own deadline to announce a new tariff methodology to set Eskom and municipal electricity tariffs and the recent ruling by the Gauteng High Court that its decision to approve Johannesburg City Power’s electricity tariffs for 2019/20 was irrational, irregular, and unlawful and set it aside.
Meanwhile two security guards employed by a company contracted by Eskom to protect the Port Rex power station in East London were arrested on Monday for allegedly stealing almost 6 000 litres of diesel.
According to Eskom spokesperson Sikonathi Mantshantsha, the guards were arrested while on duty. The stolen diesel is valued at just under R146 000.
“Through internal investigations, it was established that the … security guards permitted a vehicle to collect the stolen diesel from the site during the night shifts, and for which they were paid in return,” Mantshantsha said.
The internal investigations were supported by the Bidvest Protea Coin Investigation Team and the SA Police Service, who arrested the two security guards a few days after Eskom laid criminal charges for the theft of diesel. The two suspects will appear in the East London Magistrate’s Court on Wednesday.