Nersa dispels untrue WhatsApp message

Thursday, April 5, 2018

The National Energy Regulator of South Africa (Nersa) says it is concerned at the incorrect information being circulated via a Whatsapp message regarding the public comment process on Eskom’s Regulatory Clearing Account applications.

“Nersa has noted with great concern the incorrect information contained in a WhatsApp message encouraging people to comment on Eskom’s Regulatory Clearing Account (RCA) applications and would like to correct the statement,” said the regulator.

In January, the energy regulator published the power utility’s third multi-year determination (MYPD3) Regulatory Clearing Account (RCA) applications for year 2 (2014/15), year 3 (2015/16) and year 4 (2016/17) totalling R66.6 billion for public comment.

On Thursday, Nersa said the WhatsApp message alleges that the public has been given two weeks to comment on the Eskom applications instead of six weeks.

“Nersa would like to categorically state that stakeholders and the public were given two months to provide written comments on Eskom’s RCA applications. The invitation for written comments was published on 23 January 2018 and the closing date for the submission of comments was 23 March 2018, which constitutes two months,” said the regulator.

In addition, public hearings will be conducted in all nine provinces between 16 April and 11 May 2018. This will provide stakeholders and the public an opportunity to make oral presentations on the applications.

“Nersa would like to assure all stakeholders and the public that Eskom’s RCA applications will be considered following due regulatory process. NERSA remains committed to conducting a public participation process as part of its decision-making process”

The RCA is a monitoring and tracking mechanism that compares certain uncontrollable costs and revenues assumed in the MYPD decision (made by Nersa) to actual costs and revenues incurred by Eskom. 

The regulator’s decision on the applications is expected on 21 June.

In July 2014, Nersa announced that it has approved the RCA balance of R7.8 billion for the second Multi-Year Price Determination (MYPD2) control period, 2010 to 2013 to the power utility. –