NERSA Announces Timelines for Eskom’s Regulatory Clearing Account (RCA) Application

  • The National Energy Regulator of South Africa (NERSA) has announced the timelines to process Eskom’s Regulatory Clearing Account (RCA) application for the 2018/19 financial year.
  • Eskom is requesting a total RCA balance of R27,323 million. NERSA received Eskom’s 2018/19 RCA application on 8 August 2019.
  • On receipt of the application, it was screened for compliance with both the Fourth Multi-Year Price Determination (MYPD4) Methodology and the Minimum Information Requirements for Tariff Applications (MIRTA) requirements.

On 13 November 2019, Eskom submitted a revised application after several interactions with NERSA. On 19 November 2019, full compliance with the MYPD4 and MIRTA requirements was confirmed, after all outstanding information was submitted by Eskom.

The Energy Regulator will assess Eskom’s application following due regulatory processes. The indicative timelines for the decision-making process is provided in Table 1 below.

In line with NERSA’s commitment to being transparent and broadening public participation in its decisionmaking process, the public hearings will be held as follows:

The RCA is a correction mechanism of the MYPD, where excess or inadequate returns are managed. It consists of the variance between the actuals for the full financial year and what was allowed in the MYPD decision of the Energy Regulator. By design, the RCA is backward-looking and deals with actuals and facts.

Related news: Eskom takes Nersa to court over tariffs. Read more

Written comments can be forwarded to, hand-delivered to 526 Madiba Street, Arcadia, Pretoria or posted to PO Box 40343, Arcadia, 0083, Pretoria, South Africa. The closing date for written comments is 20 January 2020 at 16:00.

Members of the public and stakeholders who wish to attend or present their views at any of the public hearings must submit their request to by 15:30 on 27 January 2020.

Author: Ashley Theron

This article was originally published on ESI Africa and is republished with permission with minor editorial changes.

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