S.Africa's energy regulator rejects Eskom tariff increase request

South Africa's energy regulator rejected a tariff hike request by cash-strapped utility Eskom  because crucial information was missing in the firm's application.
Eskom asked for power prices to be raised by 9.58 percent to help it run gas turbines and pay for power provided by independent electricity producers.
Jacob Modise, the chairman of the National Energy Regulator of South Africa (NERSA) chairman said crucial information was missing in the application and that Eskom could submit a new application for a tariff increase.
The hike Eskom requested from the regulator would have brought the total increase this year to over 22 percent after prices also rose in April in Africa's most advanced economy.
The public enterprises minister has said the state-owned utility would have to tap debt markets if it failed to get the tariff increase it was seeking.
 "If NERSA doesn't give the increase then Eskom will have to re-examine its finances and go out and borrow," Public Enterprises Minister Lynne Brown was quoted as saying by the Business Day newspaper on Monday.  
Eskom, which imposes blackouts on an almost daily basis due to inadequate electricity capacity, is facing a funding gap to 2018 of up to 200 billion rand ($16 billion).
The government has pledged to provide Eskom with a 23 billion rand capital injection and a 60 billion rand loan from the state will be converted into equity to improve the utility's liquidity and boost its borrowing capacity.