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Hearings on Eskom hike due soon

Jan 04 2010 14:39

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Johannesburg - Public hearings on state-owned power utility Eskom's application for a tariff hike will take place later in January, the National Energy Regulator of SA (Nersa) confirmed on Monday.

The hearings for Eskom's required revenue application from April 1 2010 to March 31 2013 would be held in all provinces from January 11 to 21, it said in a statement.

They would start in Nelspruit, Mpumalanga and end in Midrand, Gauteng.

On September 30 2009 Nersa received an application from Eskom for an adjustment to the required revenue for the period April 1 2010 to March 31 2013.

"Considering the projected volumes/sales the revenue applied for translated into an application for an electricity price increase of 45% per annum for the three-year period," Nersa said.

On November 30, however, Eskom submitted a revised application for a 35% increase.

Nersa said would make its ruling on the application in February.

Eskom was trying to raise funds for a R385bn power expansion programme. It announced last month it had loaned $1.7bn from five French banks - BNP Paribas SA, Calyon, Societe Generale SA, Natixis SA and Credit Industriel et Commercial.

Eskom said the loan would be used to purchase turbines for its coal-fired power stations Medupi and Kusile.

- Sapa

 
 
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