Booted NERSA executive's conduct inconsistent with regulator's mandate, says Electricity Minister

JOHANNESBURG - Electricity Minister Kgosientsho Ramokgopa says the National Energy Regulator of South Africa (NERSA)’s head of electricity regulation was suspended for allegedly bringing the organisation into disrepute.

In August, Nhlanhla Gumede spoke out against NERSA and its approach to Eskom price hikes, saying its "mistaken interpretation of the law" had potentially made tariff increases higher than they should be.

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Gumede's suspension on Monday coincided with the start of the energy regulator's public hearings on Eskom’s application for a 36% tariff increase.

Ramokgopa says this is more of a labour relations matter.

“The board of NERSA wrote to me and suggested that on their version there is prima facie evidence to suggest that Mr Gumede is bringing the organisation into disrepute, and they substantiated what the issues were. I gave Mr Gumede the right of reply…and, in fact, his conduct was inconsistent with the mandate of the regulator.”