Part 1 Revenue Application: Multi-Year Price Determination ... - Eskom

Overview of Multi-Year Price Determination
2013/14–2017/18 (MYPD 3)
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begin during 2012 and on the concentrated solar thermal project, near Upington, in 2015.
Solar panels were installed at Kendal and Lethabo power stations to supplement auxiliary
power consumption – this was the start of a programme that will be rolled out at all coal-fired
stations. In 2011/12, Eskom improved its performance regarding relative emissions, water
usage and contraventions of legislation, compared with the prior year.
Expanding social investment commitments. Eskom takes responsibility for the way its
operations affect the environment and promotes the objectives of the government‟s New
Growth Path.
Building human capital and contributing to the national skills base. Over the past five
years, Eskom has tripled the number of engineering/technical learners receiving training and
continuously trains existing staff.
2.4 MFMA process: comments on proposed MYPD 3
application
On 18 June 2012, Eskom sent a proposed MYPD 3 application to the National Treasury and
Salga for comment before making its final submission to Nersa. Eskom also had various
engagements with other stakeholders informing them of the proposed application. On
30 July, Eskom received comment from the National Treasury and Salga on the proposed
application. Eskom has considered the comments received and has taken them into account
in finalising its application. A summary of the comments received, as well as Eskom‟s
approach regarding the issues raised, is set out below.
2.4.1 Proposed application
The proposed MYPD 3 application submitted to the National Treasury and Salga put forward
a “base case” outlining Eskom‟s minimum revenue requirements for the MYPD 3 period and
“build-up options” that listed additional requirements, should certain decisions be made
during the MYPD 3 period.