Reply by Minister of Public Enterprises, B Hogan, on questions posed in the National Assembly for written reply

Question No. 650

Mr L W Greyling (Independent Democrats) to ask the Minister of Public Enterprises:

(1)(a) How many companies benefit from the reduced mega-flex rate of Eskom, (b) what percentage (i) of the domestic total energy use do these companies utilise and (ii) increase will these companies incur as a result of the latest price increase announced by the National Energy Regulator of South Africa (NERSA);

(2)(a) how many companies receive an even lower and fixed tariff for their electricity usage other than the mega-flex contracts which have been confirmed by Eskom and (b) what (i) percentage of the total electricity usage do they utilise and (ii) are the names of these companies?

Reply:

1. (a and b)(i and ii) Eskom only offers a tariff called mega-flex, which is one of its NERSA approved standard retail tariff offerings the details of which are attached as annexure A. A reduced mega-flex tariff is not offered. With the exception of two customers who have long term pricing contracts all Eskom customers in South Africa are supplied at the standard Eskom Retail Tariffs as approved by the National Energy Regulator of South Africa (NERSA).

2. (a) Currently, Eskom only has two customers who have long term contracts, and Eskom has started the process of engaging the customers concerned with the view to revising the contracts. These contracts were entered into during the period when Eskom had excess capacity.

(b)(i) These long term contracts account for approximately five percent of the total electricity usage in the country.

(b)(ii) The additional information requested relates to the confidential commercial information of a third party and is subject to the protection provided in terms of the Promotion of Access to Information Act.

Source: Department of Public Enterprises (http://www.dpe.gov.za/)

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