As excitement gathers before this summer’s football World Cup in South Africa, financial pressure on the host nation is also growing, especially at municipal-government level.
South Africa’s National Energy Regulator (Nersa) has allowed state-owned electricity generator Eskom to charge municipalities higher energy rates. Eskom electricity prices for municipalities will be permitted to rise on average by about 25% a year from April 1 2010 until March 31 2013.
The extra money will help Eskom build more power stations and plug South Africa’s energy shortage. But the issue is socially sensitive, even though electricity prices in...
