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WIVL presentation on Eskom proposals

WIVL presentation on Eskom proposals. Eskom made new submission 18 March 2008 for further revision of 14.2% increase granted Nersa paper issued 8 April 2008 Call for objections deadline 29 April One hearing 23 May (register 19 May). Summary of reasons presented by Eskom.

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WIVL presentation on Eskom proposals

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  1. WIVL presentation on Eskom proposals • Eskom made new submission 18 March 2008 for further revision of 14.2% increase granted • Nersa paper issued 8 April 2008 • Call for objections deadline 29 April • One hearing 23 May (register 19 May) www.workersinternational.org.za

  2. Summary of reasons presented by Eskom • Coal and oil prices have gone up • Generators run extensively • Need for reduce consumption and increase saving • Needs to show that it can make a profit so that it can get loans • Steep prices and cut-offs will teach people to conserve electricity www.workersinternational.org.za

  3. Summary of Eskom proposals • Claims a generation capacity shortage • More coal on spot market (higher price) –[they ran down 65 day reserve] • Want to pass on full energy costs • Energy saving cost R6,3 bn (2 years) • Conversion to gas stoves • Standard offer (energy efficiency proj) • Reject block tariff www.workersinternational.org.za

  4. Eskom scenario 5 www.workersinternational.org.za

  5. Impact of Eskom proposals • R12,7 Bn profit min annual profit • Mass disconnections • Poor and lower middle class subsidize big capital • Big capital still pay the cheapest while residents pay more than France, USA and Canada • All other prices will be pushed up (that depend on electricity) www.workersinternational.org.za

  6. What can we do? • Lodge objections by 29 April 2008 (eskomprice2008_9@nersa.org.za or fax 012 4014700 ) • Fax also Office of Presidency 012 3005755 • Mobilise petition (1 million signatures) • Set up high price committees • Mobilising meetings up to marches to 2010 stadiums in May 2008 www.workersinternational.org.za

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