SciELO - Scientific Electronic Library Online

 
vol.109 issue7-8Mind the gap: Science and engineering education at the secondary-tertiary interfaceExposure to CCA-treated wood amongst food caterers and residents in informal areas of Cape Town author indexsubject indexarticles search
Home Pagealphabetic serial listing  

South African Journal of Science

On-line version ISSN 1996-7489

Abstract

THOPIL, George A.  and  POURIS, Anastassios. International positioning of South African electricity prices and commodity differentiated pricing. S. Afr. j. sci. [online]. 2013, vol.109, n.7-8, pp. 01-05. ISSN 1996-7489.

The South African electricity industry has seen a dramatic increase in prices over the past 3 years. This increase has been blanketed across all sectors and is based on a number of factors such as sector, usage and, in the case of domestic pricing, suburb. The cost of electricity in South Africa, particularly to the industrial sector, has been among the lowest in the world. In this paper, we analyse the recent price increases in the South African electricity sector and discuss the price determination mechanism employed by Eskom, South Africa's electricity provider. We also analyse the revenue and sales of Eskom and review the electricity price from an international perspective. The concept of differential pricing and international benchmarking is analysed as a possibility for the South African industrial electricity industry, so that all sectors are not adversely affected by across-the-board increases. Our aim is to raise the question of whether South Africa's electricity prices are in line with international increases and to suggest the possibility of differentiated prices in the local electricity sector.

Keywords : electricity; differentiated pricing; Eskom; international pricing; regulation.

        · text in English     · English ( pdf )

 

Creative Commons License All the contents of this journal, except where otherwise noted, is licensed under a Creative Commons Attribution License