The National Energy Regulator (NERSA) today announced that it will be appealing the North Gauteng High Court judgement delivered on 16 August 2016 regarding NERSA’s earlier decision on the approval of Eskom’s Multi-Year Price Determination (MYPD 3) Regulatory Clearing Account (RCA) for the 2013/14 financial year. NERSA is of the view that the judgement is flawed. It has also created a hierarchy of issues in the application of the MYPD methodology without considering the objective of the methodology and how the RCA is decided. Therefore, NERSA will be appealing the judgement on the grounds of it being premised on erroneous information, a non-implementable position, as well as its substitution of NERSA’s decision of 2014. It is believed that the appeal will create certainty with regard to the regulatory framework as there will be an approved tariff in place during the appeal process.

Source: The North Africa Journal August 25, 2016 12:22 UTC