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Eskom has published modelling tools on its website for customers to see how much they could pay for power.
The modelling is an excel spreadsheet system that can be accessed by different categories of customers. This includes direct Eskom customers and municipal customers, who indirectly rely on the power utility's supply.
Eskom in August, submitted proposed new tariffs to the National Energy Regulator of South Africa (Nersa). If Nersa approves the proposal, following a public consultation process, the changes will kick in on 1 April 2023.
The tool, published on the site in August, compares the proposed retail tariff plan with its existing tariff structure. It is based on the 2021/22 rand value - because its updated tariffs are based on data from the 2021/22 Multi-Year Price Determination Decision, Eskom explained. The rates will be updated once Nersa makes a decision for the 2023/24 financial year.
Among the significant changes to the tariff proposal include introducing time-of-use tariffs known as Homeflex for its residential customers. For those with their own generation solutions, Homeflex will be mandatory. Eskom has also rebalanced the tariff structures to ensure fixed costs - related to grid use - are fully recovered.
READ | Everything you need to know about Eskom's proposed new tariffs
The power utility is facing a debt burden north of R400 billion, partly because tariffs are not cost-reflective. If Nersa had to make the appropriate adjustments, tariffs would increase 35% before inflation is considered, CEO André De Ruyter said on Thursday at News24's On The Record Leadership summit. This is a shock to the economy Eskom wants to avoid, as consumers are already pressured.
A large equity injection from the government is thus the "only way out of the conundrum", De Ruyter said. More details on Eskom's debt solution are expected in the Medium-Term Budget Policy Statement, scheduled for October.
