The Energy Regulator of South Africa will this afternoon announce its decision on Eskom’s Regulatory Clearing Account (RCA) account application.
“The regulator will announce its decision on Eskom’s Regulatory Clearing Account (RCA) applications for year 2 (2014/15), year 3 (2015/16) and year 4 (2016/17) of the MYPD3,” said the regulator.
The media briefing to announce the decision is expected to get underway at the regulator’s offices in the capital at 2pm.
The RCA is a monitoring and tracking mechanism that compares certain uncontrollable costs and revenues assumed in the multi-year price determination (MYPD) decision (made by Nersa) to actual costs and revenues incurred by Eskom.
In January, the regulator published for public comment 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.
At the start of the countrywide public hearings for the application that got underway in May, Eskom presented its case to recover costs already spent in the provision of electricity totalling R66.6 billion, while allaying fears that this application would lead to a 30% tariff increase.