NERSA responds to Eskom’s request for 25,3% tariff hike

May 13th, 2015, Published in Articles: EE Publishers, Articles: Energize


The National Energy Regulator (NERSA) has responded to an application request received from Eskom for the selective reopening of the Third Multi-Year Price Determination (MYPD3) decision for the 2015/16 to 2017/18 period. Eskom’s selective reopener application requires cost recovery of R32,9-billion for the utility’s open cycle gas turbines (OCGTs) and a further R19,9-billion for its Short Term Power Purchase Programme (STPPP). According to Eskom’s application, the selective reopener will result in a total price increase of 25,3% for 2015/16. This will consist of the 12,69% already approved by the regulator, the 10,1% selective reopener for OCGTs, STPPP and a 2,51% increase in the environmental levy by 2c/kWh.

Eskom submitted its selective reopener application for consideration by the regulator on 30 April 2015 following the conclusion of power utility’s consultation process with the South African Local Government Association (SALGA) and National Treasury.

Table 1 outlines the timelines for processing Eskom’s MYPD3 selective reopener application as determined by the energy regulator at its meeting which was held on 13 May 2105.

Activity Date
Publication of Eskom’s MYPD3 selective reopener application on NERSA website for stakeholder comments 13 May 2015
Closing date for stakeholder comments on Eskom’s MYPD3 selective reopener application 15 June 2015
Public hearing on Eskom’s MYPD3 selective reopener application 23 and 24 June 2015
Energy regulator decision on Eskom’s MYPD3 selective reopener application 29 June 2015

Table 1: Timelines for processing Eskom’s MYPD3 selective reopener application

NERSA would like to encourage stakeholders and the public to actively participate in this process by submitting written comments and attending, or making oral representation to, the public hearing to be held on 23 and 24 June 2015.

Written comments can be emailed to; hand-delivered to Kulawula House, 526 Madiba Street, Arcadia, Pretoria; or posted to PO Box 40343, Arcadia, 0083. The closing date for written comments is 16h00 on 15 June 2015.

Contact Charles Hlebela, NERSA, Tel: 012 401-4600, Email:


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