By Ndaba Dlamini
THE City of Johannesburg has announced new tariffs for electricity services, with an average five percent increase from 1 September, and has urged residents to inspect these amendments and raise objections where necessary.
The tariff amendments will be on display until the end of August at all the People's Centres in the 11 City regions.
Council is obliged to review the tariffs annually in terms of the Municipal Systems Act 32 of 2000 - and make sure residents participate in the process.
Increases in electricity tariffs are subject to approval from the National Electricity Regulator, a national body that polices the electricity supply industry in accordance with government policy and law. The national body endeavours to ensure that the needs of existing and future electricity stakeholders are met in the most cost-effective and sustainable manner.
A choice of three tariffs is available for domestic customers: a lifeline tariff, a two-part flat tariff and a two-part seasonal tariff.
Lifeline tariffs will rise by nine percent and non-lifeline tariffs by 4,5 percent.
The lifeline tariff applies to low-usage customers who qualify for subsidies in line with the City's social package. This tariff has no service charge and customers are given 50 kWh of free electricity per household per month in line with a government programme to deliver free power to households earning less than R800 a month.
Any electricity in excess of that amount will cost 38,05 cents per kWh (unit).
Billed customers receive the grant as a credit on their average bill, while prepaid domestic customers can collect their free 50 kWh allocation from any of the City Power vending stations around the city.
City Power, the council's electricity utility, provides electricity to the whole of Johannesburg, except for small pockets of Sandton and the whole of Soweto, where power is supplied by national electricity supplier Eskom.
Under the two-part flat tariff, a customer will pay a basic service fee of R67,76 per month as a single-phase customer and R86,52 per month as a three-phase customer. A further 27,23 cents per kWh will be charged in addition to the service fee.
All domestic customers, single- or three-phase, are eligible for the lifeline tariff structure, while prepaid customers qualify automatically for lifeline tariffs.
Business power users will have to fork out R86,16 in service fees per month. An energy charge of 31,37 cents in summer and 47,23 cents per kWh in winter will be charged to business and industrial users with a capacity not exceeding 100 kVA.
It will cost the City R53-million in the 2004/5 financial year to provide electricity to households across the city, including those in Eskom-supplied areas, according to Veli Hlope, assistant director of financial communication in the City's budget office.
Any objections to the amendments must be sent, in writing, to the City Manager before 17 August.
Letters must be addressed to The City Manager, Council Chamber, 158 Loveday Street, Braamfontein 2001 or PO Box 1049, Johannesburg, 2000.
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