Opposition parties on Tuesday rejected Eskom's proposed 35 percent tariff increase, saying it did little to "dampen concerns" about the effects of inflation.
"The fact that Eskom's tariff increase application appears to have been revised to 35 percent does little to dampen concerns about possible inflationary effects of such a tariff hike," Democratic Alliance MP Manie van Dyk said.
"A 35 percent increase will probably still push inflation outside of upper target range of six percent and will have a profound effect across the board for South African consumers and businesses alike."
He was reacting to an earlier announcement by Eskom that it had lowered its request for a 45 percent tariff increase to 35 percent over the next three years.
Van Dyk said the hike was the consequence of "an array of failings by the ANC government and Eskom management".
"It follows years of mismanagement of coal stocks, inadequate risk management, lack of proper maintenance and massive non-technical losses within Eskom and more broadly, the ANC's blocking of attempts to build new power plants and tendency to interfere for political purposes at every possible opportunity."
Van Dyk said there was no question that Eskom needed funding to the tune of about R400 billion to expand its operational capacity, but a debate was needed on whether endless tariff hikes were the only solution.
Freedom Front Plus MP Anton Alberts said it was scandalous that Eskom "still expects the consumers and taxpayers to pay for their mistakes".
"The planned increase will bring South Africa's economy to its knees.
"Electricity is the backbone of any modern economy and without it we will quickly move backward to the pre-industrial days of history."
Alberts said the government should rather seriously consider fully opening up the power generation market and the speedy issuing of private power generation licences to competent businesses.
"Systematically privatising Eskom which would lead to new influx of capital," he said.
"The fact that Eskom's tariff increase application appears to have been revised to 35 percent does little to dampen concerns about possible inflationary effects of such a tariff hike," Democratic Alliance MP Manie van Dyk said.
"A 35 percent increase will probably still push inflation outside of upper target range of six percent and will have a profound effect across the board for South African consumers and businesses alike."
He was reacting to an earlier announcement by Eskom that it had lowered its request for a 45 percent tariff increase to 35 percent over the next three years.
Van Dyk said the hike was the consequence of "an array of failings by the ANC government and Eskom management".
"It follows years of mismanagement of coal stocks, inadequate risk management, lack of proper maintenance and massive non-technical losses within Eskom and more broadly, the ANC's blocking of attempts to build new power plants and tendency to interfere for political purposes at every possible opportunity."
Van Dyk said there was no question that Eskom needed funding to the tune of about R400 billion to expand its operational capacity, but a debate was needed on whether endless tariff hikes were the only solution.
Freedom Front Plus MP Anton Alberts said it was scandalous that Eskom "still expects the consumers and taxpayers to pay for their mistakes".
"The planned increase will bring South Africa's economy to its knees.
"Electricity is the backbone of any modern economy and without it we will quickly move backward to the pre-industrial days of history."
Alberts said the government should rather seriously consider fully opening up the power generation market and the speedy issuing of private power generation licences to competent businesses.
"Systematically privatising Eskom which would lead to new influx of capital," he said.
