Nersa cuts petrol tariffs
Published
Johannesburg - The tariff to transport petroleum through Transnet's pipelines for the 2009/10 financial year will be reduced by about 10.38 percent, the National Energy Regulator of SA said on Monday.
This translated into a 1.37 cents per litre reduction in the Gauteng petrol price.
In view of the fact that the first month of Transnet's financial year (April) had already ended, the adjustment would be spread over 11 months, resulting in an actual tariff reduction of 11.17 percent over the remaining months of the tariff period, Nersa said in a statement on Monday. The new tariffs would apply from Wednesday.
In its initial November 2008 tariff application Transnet asked for an increase of 82.5 percent.
"Transnet attributed much of that increase to its need to finance the construction of its new multi-product pipeline (NMPP) between Durban and Gauteng."
Changes made by Transnet to its construction schedule resulted in a revised application for an increase of 74.42 percent.
The law did not allow Nersa to set tariffs that would allow licencees to recover pipeline construction and financing costs, Nersa said, justifying its decision. It had opted instead for an across-the-board average percentage tariff adjustment.
Transnet said it would comment later on Nersa's decision. - Sapa