Electricity could increase by 12%

This will eventually become part of Ekurhuleni's budget, which will be approved on May 28.

Electricity consumers can brace themselves for an increase of about 12% in electricity tariffs when the Ekurhuleni’s budget comes into effect on July 1.

The national electricity tariff of the price Eskom sells the electricity to municipalities is regulated by the National Energy Regulator (Nersa).

Nersa, in November, said Eskom may increase the price of electricity on average by 12.69%.

Izak Berg, Ekurhuleni metro’s member of the Independent Ratepayers’s Association (Irasa) and member of the metro’s finance committee, says this 12.69% is only a guideline Nersa provides to Eskom and that a committee is currently scrutinizing it.

This committee will provide the final tariff, which is usually a little bit lower than the original proposed increase.

The Ekurhuleni budget-process is currently in the final stages of being compiled and will only be approved on May 28.

Ramesh Sheodin, a local Ekurhuleni metro councillor and also a member of the metro’s finance committee, says it is at this stage estimated that the household tariff increase will be between 11% and 12.5% as the new financial year starts on July 1.

“It also means that in six years our household service charges will double if it stays at a 12% per annum increase,” he says.

Sheodin says the proposed tariff increases for the various services are, for electricity (12.2%), property rates (7.5%), sanitation (9.5%), solid waste (8%) and water (14.5%).

Sheodin urges residents to have their input about the budget through their ward councillors or the public participation meetings that will soon be held.

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