The DA has asked for a meeting with the National Energy Regulator of South Africa (Nersa) to discuss energy prices in the light of the country's new build programme, it said on Sunday.
In order to stave off further electricity price increases, it wanted to discuss an alternative pricing system, Democratic Alliance spokesman David Ross said in a statement.
“Additional increases will put immense pressure on small businesses and the millions of South Africans who struggle to make ends meet,” he said.
Ross said a further hike in electricity prices was likely if the current pricing system was implemented.
“This system, the Modern Equivalent Asset valuation method, essentially forces NERSA, Eskom and the department of energy to partly pay for any new power plants by increasing tariffs on electricity generated from existing plants,” he said.
The DA suggested an alternative pricing system which would allow tenders for the construction of new power plants to include comprehensive financial agreements.
These would specify how the cost of the power plants will be repaid over a longer time frame, and without an immediate escalation in electricity prices. - Sapa