DA condemns tariff hike, calls for sector reform

Today’s decision to grant Eskom a 31.3% tariff rise for the 2009-10 financial year illustrates the failure of the ANC’s policies that have promoted an uncompetitive, inefficient energy sector, says DA Shadow Minister for Energy, Sej Motau.

“The Democratic Alliance (DA) has stated repeatedly that a tariff hike of this nature will have vastly detrimental consequences for South Africa’s poorest citizens, and we are deeply concerned that government is sitting idly by while the fundamental problems within Eskom, and the energy sector more broadly, are not adequately addressed.”

Read the full statement >>

Further bad planning by Eskom leaves the South African economy holding the torch

2008 was a calamitous year for Eskom, in which it failed to keep the lights on regularly. The announcement today that Eskom has yet to finalise its electricity tariff application for the next financial year is clear evidence that its poor corporate planning record has continued into 2009.

The electricity supply and its pricing are crucial in determining the competitiveness of our economy. This uncertainty has a hugely detrimental effect on service delivery and on South Africa’s attractiveness as an investment destination.

Read the full statement on the DA’s website >>

Hayibo Eskom 3: Eskom’s latest ransom demand

Eskom is a popular topic for Hayibo.com’s satire:

Eskom phones in with latest ransom demands

PRETORIA. After months of inactivity and minimal load-shedding, rogue utility company Eskom has come out of hiding to deliver its latest demands. According to a government spokesman, Eskom called in using a disposable SIM card, demanding R5 billion in unmarked R50 notes and threatening to black out the country again if it saw any police at the drop-off point.

Click to continue reading at Hayibo.com.

Load shedding News – DA calls for detailed timetable on electricity tariff hikes

The Democratic Alliance announced last Thursday that it had written to Public Enterprises Minister Alec Erwin asking him to publish a detailed time-table reflecting the proposed magnitude and time frame of price hikes over the next three years.

“We have also asked for information on how performance bonuses are determined and furthermore, for a firm commitment that no performance and bonus shares will be paid at the end of this month,” said party public enterprises spokesperson, Manie van Dyk.

“Eskom and the government’s inability to fix on a clear proposal for electricity price increases is doing little to mitigate the damaging effects of the crisis on corporate South Africa and the greater public.”

Load shedding News – DA reacts to 60 percent tariff hike proposal

The Democratic Alliance last Wednesday renewed its call for an independent inquiry into Eskom, in the wake of the announcement of Eskom’s call for a 60% nominal tariff hike last week.

“The DA shares the public’s outrage over revelations that Eskom has requested a 60 percent hike in electricity tariffs,” the party’s public enterprises spokesperson Manie van Dyk said.

“Industry and the greater public, already struggling with rising fuel and food prices amid mounting inflation, are now faced with the possibility of this massive hike in electricity prices.”

“It is seven times higher than inflation and will put upward pressure on both inflation and interest rates.”