Johannesburg — ESKOM yesterday denied that it was undercharging 138 of its large industrial users, saying it had special pricing agreements with two customers.

News of the alleged special arrangements with big electricity users have put Eskom in the firing line. Freedom Front Plus yesterday said it had laid a formal complaint with the public protector to investigate Eskom.

Cosatu said it was "shocked and disgusted" at the "secret" deals. "It is absolutely outrageous that a publicly owned utility can hide such important information behind the cover of commercial sensitivity," it said.

But Eskom spokesman Andrew Etzinger yesterday confirmed that Eskom had "negotiated pricing agreements" with two of its biggest industrial customers. Big customers were those that consumed more than 100GWh of electricity a year, he said. "These are long-term agreements with escalation clauses which are contractually agreed," he said.

It was not true that all its 138 key industrial customers were on these negotiated contracts. "An impression has been given that all the big users have these agreements."

He said Eskom entered into the special agreements with the two customers because of the need for investment in southern Africa. "Investors at the time wanted clarity on future prices. It was a concession."

Etzinger declined to name the two customers. "We cannot disclose the particulars of customers. That is standard practice."

Prior to his departure, former Eskom CE Jacob Maroga said Eskom would renegotiate contracts with aluminium producers and with resources groups such as BHP Billiton.

With I-Net Bridge