The economic consequences of load shedding

[duncan drennan]

I'm quite concerned about the words flying around the proposed electricity tariff hike.

We're being told (via the media) that the tariff hike will stop load shedding. Now I'm sure Eskom would deny this, but let's quickly look at the implications.

If a tariff hike will stop load shedding, that means that the current (as in today) problem we have is not a capacity one, but that Eskom cannot afford to continue their operations (inputs costs are higher than what they are allowed to sell electricity for).

If that is the case, then Eskom is not load shedding to ensure capacity, but is load shedding to save money (it costs them more to produce electricity than they can sell it for).

If that is the case, we are being raped by Eskom and the government is aiding and abetting.

[murdock]

at least some people are getting rich quick selling generators and invertors...i spoke to someone at tedelex they are assembling 350 unit a day and cannot keep up with the supply... at between 4 and 5 thousand for the small unit and between 6 and 7 thousand rand for the bigger unit...they have purchased 35 million rands worth of batteries to try keep up with the demand...so its not all bad news for everyone...

generator prices have increased from R4500 for a 5.5kva unit to Ralmost R10000.00 if you can find one...and i hear zuma mentioned a more enviroment friendly elctricity supply does he know that a generator produces more than 5 times the amount of fumes than a motor car...and i cant say it must be too pleasant for people working close to the companies who have had big diesel generators fitted...because of the noise... and with the petrol and diesel price going up again running these unit is not very cost effective...this is my take on this issue...i believe the man on the street just doesnt know what the powers that be are up to.

i also dont know what we are going to do in 5 years when this problem becomes an even bigger one because of expansion...

why are we being punished...being told if we dont save 10 % we will have load shedding how are the people who caused this whole fiasco being punished with big bonuses???

it doesnt bother me any more my house and office have battery backup lights...invertors...and a generator which i havent had to use yet...but they are in place just in case.

my problem is working on sites where the power goes off while i am working on the system...then comes back on...i had to leave a site last week without testing the installation because of the load shedding...and unfortunately i didnt get lucky...we had a problem on the site...by the time the power came back on i had already left for the weekend and only managed to get back to the site on monday...thank goodness no one was injured and the equipment on site wasnt damaged.