ANC STATEMENT ON ESKOM'S PROPOSED ELECTRICITY TARIFF HIKES

The African National Congress (ANC) is concerned about the effect Eskom's recently proposed 35 percent electricity tariff increase for a three year period, will have on the majority of South Africans who will find it hard to afford. We see the Eskom proposal to NERSA not assisting South Africa's economic growth, especially its recovery from the recent economic recession.

The ANC is of the view that many South Africans - the majority of whom are poor and unemployed - have not fully recovered from the effects of global recession. Taking this into account, the ANC will be making its own submission to the National Energy Regulator of South Africa (NERSA) which will not only cover the multiyear pricing index but also a holistic and comprehensive approach to sustainable energy provisioning in the country.

The ANC reiterates its call for a comprehensive approach to energy provisioning and sustainability in the country. This approach should include - among others - how we recapitalise our energy industry without burdening the South African consumer. We also believe that such a comprehensive approach should cover other available options for a future energy-funding model.

Exploring other energy sources such as green energy should also be examined in addressing the energy challenges we face.

Statement issued by Jackson Mthembu, African National Congress national spokesperson, December 2 2009

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