High winter electricity markups are slowly eating away the at the profit of commercial entities in Potchefstroom.
According to the National Energy Regulator of SA (Nersa), Eskom can charge municipalities R1.14648 per kilowatt-hour for the current 2022/23 season. This is an increase of 9.64 per cent above the previous 2021/22 season.
Regarding commercial electricity tariffs in J.B. Marks for the 2021/22 season, users can be charged up to R5.8521 per kilowatt-hour during peak times from June to August (high demand in winter.)
Standard charges are R2.164 kw/h with off-peak at R1.3023 kw/h from June to August during high demand season.
In low-demand season (September to May), charges are R 2.3656 during peak times, R 1.5372 (standard times) and R 1.1333 during off-peak times. Winter peak time (June to August) equates to an 146 per cent increase when compared to peak times between September and May.
According to an article on News24, Eskom CEO André de Ruyter slammed municipalities for hefty winter markups. He specifically referenced the Sol Plaatjie Municipality for their 121 per cent increase.
“One of the reasons South Africans regard electricity prices as inflated, is that some municipalities add hefty markups to the tariffs Eskom charges the municipality,” stated De Ruyter.
J.B. Marks responded that the tariff increase is based on Nersa guidelines and extra charges from Eskom.
“The tariffs are based on guidelines and approval from Nersa and that is how their charges vary between Winter and Summer. Eskom also charges the Municipality higher tariffs in the peak period,” stated J.B Marks Municipality spokesperson, Jeanette Tshite.
