Johannesburg – Electricity price hikes are in store for Cape Town, Tshwane and Buffalo City residents next month.
A total of some 9 million people face increases of up to 15 percent after 13 municipalities applied for above-average tariff rises.
The National Energy Regulator of SA (Nersa) held public hearings on the municipalities’ applications to consider submissions on the proposed increases above the 7.39 percent it approved for the 2014/15 financial year.
Nersa’s Charles Hlebela said a decision on the applications would be taken before July 1.
Tswelopele municipality, which includes the Free State towns of Bultfontein, Phahameng, Hoopstad and Tikwana, has applied for a 15 percent hike. According to the municipality, the tariff hike, which will be the highest if approved by Nersa, is required for upgrades and new infrastructure.
Cape Town wants a 7.63 percent tariff hike due to a decline in sales, to fund a new electrification programme and to upgrade its notified maximum demand, as well as to implement its apprentice programme.
Tshwane and Buffalo City – which includes East London, King William’s Town and Bhisho – have applied for electricity hikes of 9.2 percent and 10.76 percent respectively.
The three metros that want above-average increases – Cape Town, Tshwane and Buffalo City – suffered more than R1.1billion in electricity losses in 2012/13.
Tshwane’s loss was the highest, with electricity distribution losses of more than R622m because of theft, tampering and faulty meters.
Cape Town’s energy losses totalled more than R400m, which it blames on theft and vandalism, while Buffalo City’s stood at just over R85m…
South Africa Today – South Africa News
