The Consumer Goods Council of South Africa (CGCSA) acknowledges the complexity and challenges posed by the increases in electricity tariff. We realise that this is a heated issue as it affects all sectors of the economy.

We understand the impact of these increases on the poor and trust that they will be protected from its harsh impact.

This therefore presents an opportunity for the retail and manufacturing sectors as well as the rest of other players in the economy to engage on this issue.

The CGCSA is currently studying the proposal carefully as the industry and we will therefore meet with Eskom through Business Unity SA structures to understand the details of this proposal. A comprehensive position on this issue will therefore be issued out at a later stage.

We however believe that before these increases are granted; Nersa, Eskom and the government will have applied their minds in the best interest of business and the society in terms of the economy that is growing and provision of electricity to poor consumers and other developmental imperatives on the other hand.

We understand the predicament the country finds itself in terms of electricity shortages and the need for Eskom to invest in infrastructure development to ultimately have the capability to supply South African people with electricity.

Should the increases be granted, the industry will do as much as it can to be more efficient in terms of its usage of electricity in order to absorb their effects and ensure that it is not passed on to the consumer.

The scaling up of the increases, as opposed to a once off increase, also affords us an opportunity to debate, educate and raise awareness of these issues to the consumers while on the other hand it allows for the industry to find ways to absorb the effects of these increases.

Issued by Consumer Goods Council of SA.
For more information contact The Communications & Marketing Manager on +27 11 789 5777.