THE National Electricity Regulator of SA has declined an application by Eskom to raise the price of electricity this year.
"Nersa has decided not to approve the application," said Jacob Modise, the chairman of Nersa in Pretoria on Monday.
Eskom had not provided reasons for the delays in commissioning its newest power stations of Medupi, Kusile and Ingula, said Mr Modise.
The utility had also failed to take into consideration the effect a R23bn cash injection would have on its financial performance, said Mr Modise. In addition to that, Eskom failed to provide information on what effect a government conversion of its R60bn loan into equity would have.
The Nersa guidelines do not allow for a selective re-opener, as Eskom had done.
(Source: Business Day)