Eskom has confirmed that it will implement a price increase on April 1 of 12.69% for direct customers. Municipalities will pay 14.25% more from July 1. The power utility said that its current financial position, as a result of historical non costref lective tariffs and the lag in recovery of eligible expenditure, meant it could not pre-fund further costs necessitated by the constrained power system – such as short-term power purchases from independent power producers and municipal generators and the increased use of open cycle gas turbines. “These constraints have required Eskom to explore options for further review of tariff increases for the 2015/16 financial year. Submissions in terms of the Multi-Year Price Determination (MYPD) methodology have been made to Nersa in this regard,” said a spokesman quoted by SAnews.gov.za. INSERT 12.69% The April 1 increase
