In a scathing judgment made on July 28, the court has declared as illegal the National Energy Regulator of South Africa’s (Nersa’s) decision to deduct a R69-billion equity injection into Eskom from its allowable revenue for the period 2019/20 to 2021/22, but has also instructed that the full amount be added back to the utility’s allowable revenue. Given that the injection comprised three R23-billion-a-year tranches and that Eskom is already into the second year of a three-year tariff determination, Judge Fayeeza Kathree-Setiloane said that the first R23-billion should be added during the 2021/2022 financial year.
