Gauteng NGO Briefing - Eskom Electricity Pricing Application (MYPD3), 26 November 2012


SANGONeT would like to invite NGOs and other civil society groups in Gauteng to a briefing session with Eskom on Monday, 26 November 2012, in Johannesburg.

Eskom submitted its third revenue and tariff structure application for the next Multi-Year Price Determination (MYPD 3) to the National Energy Regulator of South Africa (Nersa) on 18 October 2012. The current three-year MYPD 2 comes to an end in March 2013. Eskom is proposing a five-year determination for MYPD 3, running from 1 April 2013 to 31 March 2018, with electricity tariffs to increase by 16% per annum during this period. The increase represents a total price increase from the current 61 cents per kilowatt hour in 2012/13 to 128 cents per kilowatt hour in 2017/18. Eskom states that it needs the tariff increases to recover the cost of producing electricity, finance its expansion programmes and service its debt.

Many stakeholders across the business and civil society spectrum have already stated their concerns about the proposed tariff increases. From a civil society perspective, organisations such as Greenpeace, groundWork, Earthlife Africa and others are at the forefront of questioning the merits of the Eskom application and the implications for all South Africans should it be approved.

South Africa needs a reliable and stable energy supply to grow the economy and respond to its vast development challenges. At the same time, most South Africans are already feeling the strain of the ever-increasing cost of living.

The challenge is how to meet South Africa's energy requirements in the best interest of all South Africans - "we need to keep the lights on, but at what cost?"

Now that Eskom has made its submission to Nersa, an extensive public consultation process will follow until Nersa makes its determination in March 2013.

Nersa will convene public hearings in all provinces from 15-31 January 2013.

The event on 26 November 2012 (10h00 - 13h00) will provide Eskom the opportunity to present a detailed overview of its application, and NGOs the opportunity to develop a thorough understanding of the application and the Nersa process to follow. It will also be an opportunity for NGOs to directly engage Eskom management, highlight issues for clarification and raise concerns about the implications of the proposed tariff increases.

If you are not in a position to attend the event, please forward any questions or issues for clarification to be raised at the event to -

RSVP by Friday, 23 November 2012:

Dipuo Mahanyele, SANGONeT, Tel: 011 403 4935, E-mail:

Venue: Wanderers Club, 21 North Street, Illovo, Johannesburg, GPS Location: S 26 08.123 E 28 03.454,

Lunch and refreshments will be served at the end of the event.

Tel: 011 403 4935
Fax: 011 403 0130

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