South Africa’s energy regulator Nersa has deferred the finalisation of the new method to decide the tariffs for state-owned utility provider Eskom, municipalities, and all other electricity licensed suppliers, according to a local newspaper.

The traffic methodology will be completed early next year due to delays in the appointment of technical specialists and drafters, Moneyweb news portal said, citing chair of the Nersa electricity sub-committee Nhlanhla Gumede.

The initial June deadline was extended to September 30. Last year, the regulator rejected Eskom’s tariff application for the 2022/23–2024/25 period based on the 2016 methodology.

Later, the court ruled in Eskom’s favour and ordered Nersa to determine the tariffs for the first three years by February 25.

However, the regulator said In August that it plans a phased implementation of the methodology, but Eskom questioned the feasibility of the move.

In September, Eskom chief financial officer Calib Cassim said that the company was seeking a 32% increase in power tariff for 2023/24 to resolve its debt crisis due to massive escalations in cost assumptions.

(Editing by Seban Scaria