South Africa Weighs Measures to Ease Electricity Price Increase

  • Options include delaying carbon tax, electricity minister says
  • State-owned utility Eskom seeking 36% power-price hike

While carbon taxes for top emitters like Eskom have increased, the current rate is still a fraction of what the World Bank estimates it should be.

Photographer: Waldo Swiegers/Bloomberg
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South Africa’s government is considering measures to offset a proposed power-price hike, including delaying plans to raise carbon taxes, Electricity Minister Kgosientsho Ramokgopa said.

The authorities will make a submission on the need for costs to be increased by less than the 36% sought by state power utility Eskom Holdings SOC Ltd., Ramokgopa said at a conference in Cape Town on Thursday. The minister signaled earlier this week that the government plans to intervene to keep prices down.