7 October 2009 - South African electricity price hikes of between 30 per cent and 60 per cent a year are on the cards for the next five years, according to the National Energy Regulator (Nersa).
Nersa confirmed that Eskom had submitted an application for a tariff increase which would become effective in April, but said the percentage increase asked for could not yet be made public.
However, in a document published on September 17, Nersa said Eskom's 31.3 per cent increase in July might be followed by "similarly high nominal prices increase in the short-term".
In the document, Eskom Interim Price Increase Application 2009, Nersa calculates Eskom's possible future price paths using the 20009/10 costs information.
The upper limit of price hikes could stabilise in 2012/13
Indications were that there "could be increasing prices between 30 per cent per annum and 60 per cent per annum in nominal terms".
Nersa spokesperson Charles Hlebela on Monday confirmed on Monday they had received an application from Eskom for a price increase.
But, "we are not in a position to say what percentage increase Eskom has asked for". Unconfirmed reports are that the utility asked for a 40 per cent tariff hike from April.
South Africa's electricity prices were among the cheapest in the world and even if prices were doubled, it would remain among the cheapest.