________________________________________________________________
NATIONAL ENERGY REGULATOR OF SOUTH AFRICA
In the matter regarding
Municipal Tariff Applications
implementation 01 July 2012
above
the
guideline
increase
–
for
by
12 Municipal Distributors (listed below)
1.
2.
3.
4.
5.
6.
7.
8.
Baviaans
Bergrivier
Emnambithi
Gamagara
Inxuba Yethemba
Mbizana
Rustenburg
Umvoti
The following applications were received with either unreliable or missing d-form
information. The tariff analysis was therefore evaluated independent of the d-forms
data. The applications were from the following municipalities:
9. Baphalaborwa
10. Centlec (Pty) Ltd (Kopanong, Mohokare & Naledi)
11. Ditsobotla
12. Kgetleng Rivier
DECISION
Based on the available information, public comments and the analysis performed so
far, the National Energy Regulator of South Africa (NERSA or ‘the Energy Regulator’),
decided as follows:
1. Baviaans
An above the guideline average tariff increase of 20.00% is approved as
requested, and with the following conditions:
I.
II.
III.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. revenue shortfall due to low tariff
increases) it was approved for.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
The municipality must submit a report on how the high energy losses
will be reduced by 30 September 2012.
2. Bergrivier
An above the guideline average tariff increase of 13.5% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. funding shortages to other municipal
departments) it was approved for.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
3. Emnambithi
The guideline average tariff increase of 11.03% is approved as requested,
and with the following conditions:
I.
That the municipality must ensure that it aligns its blocks to NERSA’s
IBT blocks in the 2013/14 financial year.
4. Gamagara
An above the guideline average tariff increase of 14.00% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. infrastructural maintenance) it was
approved for.
The municipality must submit a progress report on how it spends the
additional revenue on the infrastructure maintenance by end January
2013.
III.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
5. Inxuba Yethemba
An above the guideline average tariff increase of 13.5% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
III.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. infrastructure refurbishment) it was
approved for.
The municipality must submit a progress report on how it spends the
additional revenue to undertake the infrastructure refurbishment by end
January 2013.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
6. Mbizana
An above the guideline average tariff increase of 13.42% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. infrastructural maintenance) it was
approved for.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
7. Rustenburg
An above the guideline average tariff increase of 12.15% is approved as
requested with the following conditions:
I.
II.
III.
IV.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. infrastructural maintenance) it was
approved for.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
The Environmental levy of 2c/kWh is not approved as it is included in
Eskom’s tariffs.
The requested additional rate re-balancing levy of 7c/kWh is approved
to be charged on Time-of-Use (‘flex’) for 2012/13 and 2013/14 only.
8. Umvoti
An above the guideline average tariff increase of 18.00% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. infrastructural development and meter
sweep to curb electricity theft) it was approved for.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
9. Baphalaborwa
An above the guideline average tariff increase of 17.00% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
III.
IV.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. electrical infrastructure maintenance) it was
approved for.
The municipality must submit a progress report on how it spends the
additional revenue undertake the infrastructure maintenance by end
January 2013.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
The municipality must resubmit revised accurate D-forms by 30
September 2012
10. Centlec (Pty) Ltd (Kopanong, Mohokare & Naledi)
An above the guideline average tariff increase of 13.00% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
III.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. infrastructural upgrade & high Eskom
increases) it was approved for.
The municipality must submit a progress report on how it spends the
additional revenue to undertake the infrastructural upgrade by end
January 2013.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
11. Ditsobotla
An above the guideline average tariff increase of 15.00% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. upgrade of substations & operational
expenditure) it was approved for.
The municipality must submit a progress report on how it spends the
additional revenue to undertake the infrastructure maintenance by end
January 2013.
III.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
12. Kgetleng Rivier
An above the guideline average tariff increase of 12.00% is approved with
limitations to some of the tariffs applied for by the municipality with the
following conditions:
I.
II.
That the additional funds above guideline be ring-fenced and used
solely for the purposes (i.e. infrastructural maintenance) it was
approved for.
Revenue not spent in accordance with the approval will be clawedback in the following financial year.
REASONS FOR THE DECISION
1. INTRODUCTION
NERSA calculates an appropriate electricity price increase on an annual basis, which
is then communicated to municipal distributors as a guide to them in determining their
annual electricity tariffs. This guideline does not preclude a distributor from the legal
obligation to apply to the Energy Regulator for tariff increases before implementation.
NERSA also reviews the tariff benchmarks and recommends new benchmarks that
would be used in the evaluation of the municipal tariff evaluations.
On 09 March 2012, the National Energy Regulator of South Africa (NERSA or ‘the
Energy Regulator’) decided as follows:
1. That a guideline increase of 11.03% be approved for the 2012/13 municipal tariff
review process. The guideline increase is based on the following assumptions:
1.1 bulk purchases have been increased by 13.50%1 in line with Eskom’s
tariff increase to municipalities;
1.2 a consumer price index (CPI) of 5.4%2;
1.3 salary and wage increases of 5%, in line with the increase proposed in the
2011 Medium Term Budget Policy Statement (MTBPS);
1.4 repairs and maintenance, capital charges and other costs have been
increased by the CPI.
2. That the following benchmarks be approved for implementation:
Table 1: 2012/13 The average municipal tariff benchmarks based on the 11.03% guideline
increase
DOMESTIC TARIFFS (IBTs)
1
Domesti
c
Block 1
0 – 50
kWh
(c/kWh)
Domestic
Block 2
51 –
350kWh
(c/kWh)
Domestic
Block 3
351 – 600
kWh
(c/kWh)
Domestic
Block 4
>600 kWh
(c/kWh)
61 – 66
77 – 82
104 – 109
124 – 129
COMMERCIAL 2000 kWh
INDUSTRIAL
Prepaid
Conventional
43800 kWh
(c/kWh)
130 – 135
130 – 135
132 – 137
The decision is in line with Eskom’s Standard Retail Tariff for 2012/13 financial year as approved by
the Energy Regulator
2
The Consumer Price Index is 5.4% in line with the Municipal Budget Circular for the 2012/13 Medium Term Revenue and Expenditure Framework (MTREF)
3. That the costs deemed not to be in the direct supply of electricity will be dealt with
on a case-by-case basis from each municipality. These will be determined by
comparing the municipalities’ average cost to supply electricity to the average
price charged by the municipalities. The difference will then be used to adjust the
overall increase awarded to the municipality. In determining the average cost to
supply the following will be taken into account:
3.1 bulk purchases;
3.2 bad debts;
3.3 reasonable energy losses;
3.4 salaries and wages;
3.5 capital charges.
4. Furthermore, the municipalities’ overall financial and technical performance will be
reviewed prior to a final decision on the overall increase. Indicators to be
considered in this regard mainly include:
4.1 percentage surplus;
4.2 percentage energy losses;
4.3 percentage power costs;
4.4 bad debt provision; and
4.5 average purchase price/average selling price ratio.
The approved guideline of 11.03% and the benchmarks as stated in the above table
have been used in evaluating the municipal tariff applications.
2. THE APPLICATION
2.1. NERSA received applications from 12 municipalities that applied for increases
above the determined guideline. The increases range from 0% to 12.8% above
the applicable guideline.
3. THE APPLICANT
3.1. A total number of 12 municipal distributors applied for increases above the
guideline. The table below indicates municipalities’ proposed increases as well
as the main motivation given for above-guideline increase. The names are
listed below as follows:
Table 2: List of electricity licensed distributors applying for above-guideline
increase
Name of
Municipality
Baphalaborwa
Baviaans
Municipal
Proposed
Percentage
Increase for
2012/13
21%
20%
Bergrivier
16.50%
Centlec
17.17%
Ditsobotla
16%
Emnambithi
11.03%
Inxuba Yethemba
13.5%
Kgetleng Rivier
12.15%
Rustenburg
12.15%
Umvoti
Mbizana
Gamagara
18%
18%
23.83%
Motivation provided by municipalities for
above-guideline increase
Maintenance of electrical infrastructure
Revenue loss due to lower increases in
2010/11 and 2011/2012 financial years
To cross-subsidise shortages in other
departments
Increase due to high electricity prices from
Eskom
To accommodate high seasonal Eskom
charges
Restructuring of tariffs (municipality made a
specific request to present at the hearing)
Increase due to 16% electricity prices from
Eskom
Recovery of revenue losses from the financial
year 2011/12
Recovery of revenue losses from the financial
year 2011/12
Infrastructural development (meter installation)
Maintenance of electricity infrastructure
Making provision for the capital expenditure
projects
4. THE DECISION-MAKING PROCESS
4.1. On 14 and 17 June 2012, the Energy Regulator published a notice of public
hearings with a list of all municipalities applying for an above-guideline
increase. An invitation was extended to members of the public and
stakeholders to attend or present their views at the public hearing.
4.2. The Public hearings was be held on 22 June 2012 at NERSA’s offices,
(Kulawula House, 526 Vermeulen Street, Arcadia, Pretoria) in Arcadia, Pretoria.
4.3. The Energy Regulator through a round robin decision, made a determination on
the municipal tariff applications prior to municipalities implementation date of 01
July 2012.
5. THE OBJECTORS AND OTHER INTERVENING PARTIES
5.1. The closing date for the public and stakeholders wishing to attend and present
their views at the hearing was 25 May 2012.
5.2. A total of 14 stakeholders attended and made presentations at the hearing.
Twelve of these were municipal distributors while two were objectors, namely:
Utility Management for Africa (UMFA) and Ditsobotla Development Forum.
5.3. A synopsis of the presentations made from various stakeholder categories is as
follows.
BAPHALABORWA
Baphalaborwa requests a 21% above-guideline increase is required for:
 upgrading of electricity infrastructure from single to 3 phase in Phalaborwa
R4,000,000;
 refurbishment of substations in Phalaborwa at Ext. 2,3, 8A and 8B
R2,200,000;
 electrical Infrastructure Reticulation for the new sites in Gravelotte
R1,300,000;
 maintenance of Selati 33/11 KV Substation R3,500,000.00 (ongoing);
 R5m worth of projects will not be funded if 21% is not approved;
 weighted average tariff will be implemented, the municipality is not ready to
implement the block tariff on domestic prepaid;
 a tariff increase of 21% was public participated during the 2012/17 Budget
processes with no objections.
BAVIAANS
 The municipality has not increased its tariffs sufficiently for the past three
financial years to ensure the financial sustainability of the service.
 Tariffs were compared with those of adjacent municipalities in the Eastern, as
well as Western Cape, and is still lower than all comparative tariffs.
 Current tariffs are uneconomical to ensure the financial sustainability; it is
evident in the year-to-date deficit of approximately R2,6m.

To ensure financial sustainability, the municipality has no choice but to
increase tariffs in 2012/2013 with at least 20%.
 The increase was necessary due to under-recovery of between 9 and 12% for
the 2009/2010, 2010/2011 and 2011/2012 financial years.
 Multi-year above the guideline increase is of essence to ensure financial
recovery and prevent current infrastructure from deteriorating.
 Domestic consumers make up more than 95% of customer base.
 The requested increase in tariffs is essential to meet operational and
maintenance requirements.
BERGRIVIER
 With the price increase of 13.05% announced for municipalities, from 01 July
2012, the cost of bulk purchases amounts to R40.9 million.
 In addition to the cost of electricity other expenditure items amounts to R23m,
these costs include items such as salaries, maintenance, administration,
interest and depreciation.
 The total of the above expenditure of R63.9 million is further increased with a
profit margin of 15% or R9.6 million, which is an acceptable percentage for a
trading service of this nature at a municipality.
 This profit is utilised to cross subsidise services funded by the levying of
property rates.
 If this profit is included the total revenue from all sources in the electricity
service should be R73.6 million.
 Bergrivier requests NERSA to approve its application, which is based on the
NERSA proposal tariff plus 3%.
 These tariffs are in all cases less than the benchmark tariff contained in
NERSA circular dated 09 March 2012.
 The tariffs applied for is, if compared with those in the West Coast Region, the
lowest.
CENTLEC (SOUTHERN FREE STATE)
 The motivation for the above-guideline increase of 17.17% is the following:
 High ESKOM Purchase Prices is 29% higher than Mangaung Metro.
 Additional increase for Maintenance backlog and Capital Investment
amounting to R 8,560,983 is required, which includes:
o Fleet ~ 8 New Vehicles ~ R4.5m
o Distribution ~ 5 HT Lines ~ R750k
o Meter Replacement ~ R1.2m
o Streetlights ~ R1.1m
o Transformer Replacements ~ R1m
 Wide geographical area to service with limited vehicles.
 Increased amount of personnel needed, increased salary budget.
DITSOBOTLA
 The municipality is requesting a 16% increase and has the following
challenges:
o Decaying infrastructure: Some equipment, including spare parts, are
obsolete.
o Maintenance cost is therefore very high.
o Inability to finance new projects: New malls, schools etc. within the
municipality requires new supply points.
 The cost of electricity excludes electricity cost to boreholes, sewer plants,
streetlights and Hi-Mast lights, community halls, etc.
 In effect, electricity revenue cannot sustain refurbishment, new plants and
supplies and take care of technical staff cost.
 Since the municipality is 70% rural and all water sources are from boreholes,
as a result they utilise electricity to supply water.
EMNAMBITHI
 The municipality did not apply for an above-guideline increase but wished to
defend the IBT proposals.
 The municipality’s budget indicators are:
o Salary increase : 10%
o Bulk purchase cost : 72.9%
o Bulk Purchase cost increase : 13.50%
 Basic charge built into energy charge for domestic as per approved tariff of
previous financial years.
 True IBT achievable by the built in basic charge.
 Differentiated tariff for prepaid and credit metering for domestic and
commercial.
INXUBA YETHEMBA (IYM)
 IYM generates 75% own revenue and the rest comes from the government
Grants.
 Inxuba Yethemba requires an income revenue of R 68,750,000.
 The proposed revenue requirements and associated tariff increase are
considered necessary to ensure the delivery of the service of the Electrical
Section and the Municipality as a whole in a financially sustainable manner.
 The municipality as a whole has a budgeted deficit of R 2.4 million.
 The motivation for the above-guideline increase is:
o the high increase in the Eskom account;
o a R4.5 million loan is to fund the replacement of the capital assets;
o a reduction in the percentage increase will destabilise the municipality
financially; and
o it will further reduce the maintenance budget in the Electrical section.
 If the guideline is used there will be a reduction of R1.2 million, while an
amount of R2,256,680,653 is required to balance the budget. If the money is
not collected from electricity tariffs, the shortfall will have to be collected from
rates and taxes, which is already calculated at 10% for rates, 10% for waste
and 6% for water.
KGETLENG
 Key factors and reasons for motivation:
o Block tariffs are above benchmark.
o Cost of upgrading network to be ring-fenced – R3m.
o Revenue Impact of IBTs is negative – most customers fall in the first
two blocks.
o Rate rebalancing levy 7c/kWh – to soften the impact of revenue lost on
IBTs and flex tariffs.
o Environmental Levy – 2c/kWh – to pass on Eskom’s charge.
RUSTENBURG
 Key Factors and reasons for motivation:
o Block tariffs are 2% above benchmark.
o Cost of Waterkloof substation to be ring-fenced – R120m (Budget
quote from Eskom).
o Revenue Impact of IBTs is negative – most customers fall in the first
two blocks.
o Rate rebalancing levy 7c/kwh – to soften the impact of revenue lost on
IBTs and flex tariffs.
o Environmental Levy –2c/kwh – to pass on Eskom’s charge.
UMVOTI
 The Umvoti Municipality application for an 18% electricity tariff which is above
the 11.03 % benchmark is due to many factors namely:
o Theft/malicious damage to equipment.
o High cost of maintenance.
o Infrastructure upgrades.
o Infrastructure development (metering).
 The present budget which has been accepted by Council includes an 18%
increase in the electricity tariff.
 The municipality is faced with a budget deficit of R 4,712,972.00 at the start of
the financial year which equates to a 9.109% deficit within electricity only.
 The percentage of 18.6% as average losses over a 12 month period bear
witness to the seriousness of the theft situation.
 Various methods have been put into place to curb the losses over a period of
time.
 Maintenance costs outweigh the estimated income costs by 9.109% for this
financial year.
MBIZANA
 The Distribution Network is in dire need of major refurbishment because of in
particular the danger it is posing to the Public due to installations that
contravene OHS Act and Electricity Regulations.
 The Municipality’s objectives are:
o To minimise danger to the public by ensuring that installations with
exposed Live HV conductors are relocated to safer locations and low HV
lines are removed and underground cables installed.
o To minimise power cut offs to afford the businesses and households little
interruptions and improve the image of the Municipality.
o To increase the supply of electricity to the town
o To upgrade identified transformers and supply to the town.
o To improve and maintain a neat power system.
o To provide an excellent supply and a quality product.
GAMAGARA
 Gamagara municipality implemented a below guideline tariff increase in the
previous financial year and aims to align with NERSA’s guideline in the
2012/13 financial year in order to upgrade electricity infrastructure.
 Gamagara municipality approved a 23.8% electricity tariff increase in the final
annual budget 2012/13 pending NERSA’s approval which is 12.3% above
guideline.
 The proposed increase was presented in the Budget public participation
process and no objections were received.
 Proposed Bulk Upgrading Requirements
 The transformer capacity at the Eskom substation is being upgraded to a
secure 40MVA and the existing 66kV overhead line from Ferrum Substation
only has a maximum demand capacity of +- 40MVA.
 As most of the new planned developments are situated west of the existing
Kathu town, it would be necessary to provide for a second 40MVA main intake
substation in Kathu West.
 Eskom indicated that they do have the capacity on a new 132kV line now
being built from Ferrum Substation to Umtu, near Hotazel.
 Gamagara Municipality should also apply for a second 66kV supply from the
Ferrum Asbes line to the existing Kathu Substation. This will increase the
available maximum demand, should it become necessary for the installation
of the second intake substation in Kathu West and should the demand on the
Eastern Substation 1 exceed 40MVA.
UTILITY MANAGEMNET FOR AFRICA (UMFA)
UMFA stated NERSA’s role as:
 to approve % increases – but, must ensure that it is accurate; and
 to ensure that only approved tariffs are charged.
Environmental Levy
 Centlec proposes the introduction of an environmental levy on bulk and
commflex clients.
 Eskom levies an environmental levy, but they generate electricity from coal
burning power stations and they have long term contractual commitments to
clean the environment and reclaim land and this levy is specifically earmarked
for that purpose.
 Centlec increased their bulk tariffs substantively and lowered the commercial
tariffs.
 The impact of this on resellers/landlords is devastating. They have to buy
electricity from the municipality and in more than 90% of cases they pay one
of the bulk tariffs. However, the highest percentage of their clients pays
commercial rates.
 This means they will pay between 12% and 30% more, while what they can
charge will decrease with between 32% and 55%.
 During a meeting with a senior representative of Centlec on Friday, 18 May
2012, the following was said:
o That it will not be possible to recover the cost of the bulk meters by
using the approved tariffs.
o That customers should make up their own tariffs by using an average
purchase price of R/c per kWh. The municipality will provide UMFA
with a letter in this regard giving permission to do so.
o That the approved tariffs are for use by the municipality and that UMFA
is not bound by them.
DITSOBOTLA DEVELOPMENT FORUM
 The forum has problems with procedural issues for the Ditsobotla municipality.
 The customers were not consulted properly before decisions were made on
increasing tariffs and reasons for decisions were also not communicated to
customers.

No provision was made for domestic low conventional tariff therefore
customers have to pay high rates for nine months of the year.
 There are big differences between the approved tariff and what is charged to
customers.
 Owners of vacant stands have to pay huge rates which NERSA could not
have approved.
 Due to the lack information, reasons for the decision and non-compliance by
the municipality, NERSA should not allow the 16% increase requested by
Ditsobotla.
6. APPLICABLE LAW
6.1. The legal basis for the Energy Regulator to grant electricity price increases is
derived from the Electricity Regulation Act (Act No. 4 of 2006)(‘the Act’) and the
National Energy Regulator Act, 2004 (Act No. 40 of 2004) (‘the NERSA Act’).
7. ANALYSIS OF APPLICATION
7.1. A detailed analysis was performed on the applications and a summary of the
reasons and motivations as provided by the municipality is detailed under the
reasons for the decision.
8. CONFIDENTIALITY
Some of the information provided by the municipalities could be regarded as
confidential. In determining the confidentiality of the information for public
consumption or upon request by any stakeholder, NERSA will refer to the Public
Access to Information Act.
9. CONCLUSION
Based on the available reasons, facts and evidence, NERSA has concluded that
the municipalities listed above have met the requirements for tariff increases that
are above the guideline increase of NERSA. However, in determining the tariffs,
NERSA has limited some of the tariff components of the municipalities. The
approved tariffs are provided in Annexure 1.
End.
ANNEXURE 1
Name of
licensee &
Percentage
Increase
1. Baviaans
20.00%
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic
Prepaid
Energy
charge: 114.00
Zaaimanshoek
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Domestic
Prepaid
Lifeline
Block 1 : 66.00
Block 2 : 72.00
Block 3: 76.00
Block 4: 89.00
Domestic
Conventional
Lifeline
Block 1 : 60.00
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Domestic Credit
Basic charge:
R105.60
Energy charge:
86.00
Commercial
Prepaid Meter
Energy charge:
116.00
Single Phase
Prepaid
Block 1 : 63.00
Block 2 : 79.00
Block 3: 106.00
Block 4: 124.00
Single Phase
Conventional
Block 1 : 63.00
Block 2 : 79.00
Block 3: 90.00
Small Business Credit
Single
Basic charge: R136.80
Energy charge: 92.00
Commercial
Prepaid
Energy Charge :
108.00
Small Business Credit
60A
Basic charge: R422.40
Energy charge: 83.00
Commercial
Conventional
Basic Charge: R458.00
Energy Charge : 98.00
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
N/A
Large Power
Users
Energy charge:
72.00
Demand
Charge:
R108.00
N/A
N/A
Industrial
Large Users
Basic Charge:
R1242.00
Energy Charge
: 68.00
Demand
Charge :
R130.00
N/A
Small Business < 30A
Basic charge: R271.20
Energy charge: 83.00
Energy
charge: 124.00
2. Bergrivier
13.50%
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Name of
licensee &
Percentage
Increase
3. Emnambithi
11.03%
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Block 2 : 71.00
Block 3: 77.00
Block 4: 88.00
Domestic life
line Supply
Energy
charge: 130.00
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Block 4: 98.00
Basic Charge :
R128.00
Domestic Prepaid
Block 1 : 92.51
Block 2 : 97.51
Block 3:99.51
Block 4: 112.00
Domestic Credit
Meter
Block 1 : 92.51
Block 2 : 99.51
Block 3:105.00
Block 4: 124.00
Commercial
Prepaid Meter
Energy Charge :
115.90
Commercial Credit
Meter
Energy Charge : 130.00
Medium Business Two
Rate
Basic Charge : R2019.18
Network Access Charge:
R64.48
Network Demand
Charge: R72.51
Energy Charges
Low Season(Sep to May)
Peak : 37.40
Off-Peak : 31.74
High Season(Jun to Aug)
Peak : 68.58
Off-Peak : 60.59
Time- Of –Use Tariffs
Basic Charge : R2296.90
Network Access Charge:
R28.21
N/A
Large
Business Two
Rate
Basic Charge :
R3050.75
Network
Access Charge:
R62.15
Network
Demand
Charge: R82.37
Energy
Charges
Low
Season(Sep to
May)
Peak : 38.54
Off-Peak :
35.59
High
Season(Jun to
Aug)
Peak : 67.44
Off-Peak :
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Time- Of –Use
Tariffs
Basic Charge :
R3050.72
Network Access
Charge: R20.72
Network
Demand
Charge: R27.48
Energy Charges
Low
Season(Sep to
May)
Peak : 63.41
Standard : 42.01
Off-Peak : 31.69
High
Season(Jun to
Aug)
Peak : 206.97
Standard : 59.76
Off-Peak : 35.41
Name of
licensee &
Percentage
Increase
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Network Demand
Charge: R37.39
Domestic
Prepaid
Block 1 : 66.00
Block 2 : 82.00
Block 3:
109.00
Block 4: 129.00
Domestic
Conventional
Block 1 : 74.00
Block 2 : 93.00
Block 3: 118.00
Block 4: 129.00
Commercial
Single Phase
Energy charge:
125.50
Commercial
Prepaid Three
Phase
Energy charge:
135.00
Commercial Conventional
Three Phase
Basic charge: R287.39
Energy charge: 110.00
Demand Charge: R46.62
Domestic
5. Inxuba
Yethemba Indigent
Block 1 : 64.59
13.50%
Domestic
Conventional
Meters
Block 1 : 77.17
Commercial
Prepaid
Energy charge:
136.04
Commercial Business
Energy charge: 122.90
Basic charge: R198.83
Block 2 : 80.44
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
64.22
Energy Charges
Low Season(Sep to May)
Peak : 69.05
Standard : 45.73
Off-Peak : 34.53
High Season(Jun to Aug)
Peak : 225.49
Standard : 65.09
Off-Peak : 38.59
Commercial Conventional
Single Phase
Basic charge: R185.00
Energy charge:109.50
4. Gamagara
14.00%
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
N/A
Bulk Supply
above 50kVA
3 Phase
Basic charge:
Industrial and
Agriculture
Basic charge:
R1100.00
Energy charge:
81.00
Demand Charge:
R51.57
N/A
N/A
N/A
Name of
licensee &
Percentage
Increase
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Block 3: 95.07
Block 4: 97.16
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
13.42%
Domestic
Prepaid
Block 1 : 69.00
Block 2 : 85.00
Block 3:114.00
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Block 2 : 90.00
Block 3:113.38
Block 4: 115.88
Basic charge:
R74.96
Domestic
Conventional
Block 1 : 69.00
Block 2 : 85.00
Block 3 :110.00
Block 4 : 129.00
Basic Charge :
R129.80
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
R320.10
Bulk supply/Kva
Charge:R146.33
Energy charge:
Low demand:
For first 30000
kWh: 66.13
Above 30000
kWh: 65.09
Domestic
Prepayment
Block 1 : 86.32
Block 2 : 104.00
Block 3:126.82
Block 4: 129.61
6. Mbizana
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
High demand:
For first 30000
kWh: 82.56
Above 30000
kWh: 85.64
N/A
Commercial Single
Phase
Basic Charge : R250.16
Energy Charge : 111.00
Commercial Three
Phase
Basic Charge : R477.90
Energy Charge : 107.00
N/A
Large Power
User
Basic Charge :
R808.30
Energy Charge:
47.00
Demand
charge:
R148.68
N/A
Name of
licensee &
Percentage
Increase
7. Rustenburg
12.15%
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic
Prepaid
Block1 : 66.00
Block 2: 82.00
Block 3: 94.00
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Commercial
Basic charge: R236.32
Energy charge: 111.03
400 V Bulk
Supply
Basic charge:
R1201.07 /month
Energy charge:
55.76 c/kWh
Demand Charge:
R161.25 /kVA
11kV Bulk
Supply
Basic charge:
R1037.04
Energy charge:
52.66
Demand
Charge:
R155.70
33 KV Bulk
Supply
Basic charge:
R1037.04
Service Charge:
12342c/day
Admin Charge:
3320c/day
Transmission
Charge:
539c/kWh
Reactive
Energy:
1427c/var
Demand
Charge:
R2223c/kVA
Access Charge:
1178c/kVA
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Domestic
Conventional
Block1 : 66.00
Block 2: 82.00
Block 3: 94.00
Block 4: 112.00
Basic Charge:
R222.42
Commercial
Prepaid
Energy charge:
111.03
Agricultural
Prepaid
Energy charge:
111.03
High Season
Energy Charges
Peak : 238.00
Standard: 62.00
Off Peak: 33.00
Low Season
Name of
licensee &
Percentage
Increase
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Energy Charges
Peak : 67.00
Standard: 41.00
Off Peak: 28.00
11 KV Bulk
Supply
Basic charge:
R1037.04
Service Charge:
12342c/day
Admin Charge:
3320c/day
Transmission
Charge:
539c/kWh
Reactive
Energy:
1427c/var
Demand
Charge:
R2223c/kVA
Access Charge:
1178c/kVA
High Season
Energy Charges
Name of
licensee &
Percentage
Increase
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Peak : 245.00
Standard: 64.00
Off Peak: 34.00
Low Season
Energy Charges
Peak : 68.00
Standard: 42.00
Off Peak: 29.00
An additional
7c/kWh is
approved to be
charged to time
of use
customers for
2012/13 and
2013/14 only.
8. Umvoti
18.00%
Domestic
Conventional:
Indigents
Basic Charge:
3.75/Amp/Pha
se
Energy
Charge: 96.10
Domestic
Conventional:
Tariff Option 1
Basic Charge:
3.75/Amp/Phase
Energy
Charge:96.10
Domestic
N/A
Commercial
Conventional
Basic Charge :
4.50/Amp/Phase
Energy Charge: R117.00
Sports fields and
lighting
Energy Charge: R126.40
N/A
Large power
users with
installed
capacity of in
excess of 65
kVA
Basic Charge :
R1091.80
Energy Charge:
N/A
Name of
licensee &
Percentage
Increase
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic
Prepaid
Indigents
Energy
Charge: 81.50
9. BaphalaBorwa
17.00%
Domestic
Ltd Tariff I
Summer
10. Centlec
(Pty)
Domestic
prepaid
Energy
charge: 115.83
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Conventional
Tariff: Option 2
Energy
Charge:130.70
Domestic Prepaid
Energy Charge:
125.30
R66.80
Demand
Charge:
R146.96
Availability Charge on
lots proclaimed for
residential use per lot,
per month
Availability charge:
R78.00
Domestic
Conventional
Block 1 : 68.00
Block 2 : 86.00
Block 3:112.00
Block 4: 129.00
Basic charge:
R99.22
Commercial
Prepaid
Energy charge:
126.00
Availability Charge on
lots proclaimed for
commercial or
industrial use per lot,
per month
Availability charge:
R78.00
Commercial
Conventional
Basic charge: R176.90
Energy charge: 127.15
Domestic Tariff I
Winter
Block 1 : 82.00
Commercial
Prepaid Tariff
Basic charge:
Tariff VI Commflex
Basic Charge: R300.00
Demand Charge :R00.00
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial Low
Voltage
Basic charge:
R804.96
Energy
Charge:61.31
Demand
charge:R161.74
N/A
N/A
N/A
N/A
Tariff VII (a)
Elecflex 1
Basic Charge:
Name of
licensee &
Percentage
Increase
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
(Kopanong,
Block 1 : 82.00
Mohokare & Block 2:100.00
Naledi)
Block 3:116.00
13.00%
Block 4:136.00
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Block 2 : 107.00
Block 3:116.00
Block 4: 147.00
Tariff II Homeflex
Basic Charge:
R250.00
Demand Charge :
R00.00
Energy Charges
Low Season
Peak : 100.00
Standard : 80.00
Off-Peak : 75.00
High Season
Peak : 250.00
Standard : 130.00
Off-Peak : 84.00
Tariff III (a) Bulk
Residential 2
Basic Charge:
R1400.00
R00.00
High demand
Energy charge:
135.00 c/kWh
Low demand
Energy charge:
130.00 c/kWh
Energy Charges
Low Season
Peak : 115.00
Standard : 96.00
Off-Peak : 80.00
High Season
Peak : 277.00
Standard : 124.00
Off-Peak : 90.22
Tariff V(a) Street Lights
Energy Charge: 111.00
Tariff V(b)Departmental
Basic Charge: R00.00
Demand Charge :R00.00
Energy Charges
Low Season
Peak : 123.00
Standard : 74.00
Off-Peak : 63.00
High Season
Peak : 232.00
Standard : 118.00
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
R2100.00
Demand Charge
:R93.42
Access Demand
Charge: R32.70
Energy Charges
Low Season
Peak : 104.00
Standard : 62.00
Off-Peak : 53.00
High Season
Peak : 220.00
Standard : 80.00
Off-Peak : 60.00
Tariff VII(b)
Elecflex 2
Basic Charge:
R1400.00
Demand Charge
:R100.89
Access Demand
Charge: R35.31
Energy Charges
Low Season
Name of
licensee &
Percentage
Increase
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Demand Charge
:R40.36
Access Demand
Charge: R14.13
Energy Charges
Low Season
Peak : 115.00
Standard : 84.00
Off-Peak : 74.00
High Season
Peak : 263.00
Standard : 120.00
Off-Peak : 100.00
Tariff III (b) Bulk
Residential 3
Basic Charge:
R1050.00
Demand Charge
:R44.39
Access Demand
Charge: R15.54
Energy Charges
Low Season
Peak : 154.00
Off-Peak : 113.00
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Peak : 92.00
Standard : 67.00
Off-Peak : 57.00
High Season
Peak : 270.00
Standard : 90.00
Off-Peak : 62.00
Tariff VII(c)
Elecflex 3
Basic Charge:
R1050.00
Demand Charge
:R100.98
Access Demand
Charge: R38.84
Energy Charges
Low Season
Peak : 80.00
Standard : 65.00
Off-Peak : 49.00
High Season
Peak : 230.00
Standard : 82.00
Off-Peak : 57.00
Name of
licensee &
Percentage
Increase
11. Ditsobotla
15.00%
Domestic Low
(c/kWh)
Block1 (0-50 kWh)
Block2 (50-350
kWh
Block3 (350-600
kWh)
Block4 (>600kWh)
Domestic
Low
Energy
Charge:105.00
Domestic
Prepaid
Energy
Charge: 115
12. Kgetleng
Rivier
12.00%
Residential
Prepaid:
Energy Charge
Block 1 66.00
Block 2 85.00
Block 3 102.00
Block 4 111.00
Domestic High
Basic charge:
R/month
Amp Charge: R/Amp
Energy: c/kWh
Commercial
Prepaid
(c/kWh)
Commercial Conventional
Basic charge: R/month
Amp Charge: R/Amp
Energy: c/kWh
Industrial Low
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Industrial High
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Commercial
Basic Charge: R222.29
Energy Charge: 127.60
Industrial
Basic Charge:
R643.04
Demand Charge:
R152.78
Energy Charge:
70.22
N/A
Industrial:
Basic Charge
R1201.07
Demand Charge
R138.79
Energy Charge
83.27
N/A
Block1(0-50 kWh)
Block2(50-350 kWh
Block3(350-600 kWh)
Block4 (>600kWh)
Standard : 92.00
Off-Peak : 79.00
High Season
Peak : 210.00
Standard : 130.00
Off-Peak : 125.00
Domestic
Conventional:
Basic charge:
R136.84
Energy Charge:
97.37
Residential
Conventional:
Basic Charge
R251.63
Energy Charge
Block 1 66.00
Block 2 85.00
Block 3 102.00
Block 4 111.00
Commercial
Prepaid:
Energy Charge:
140.31
N/A
Commercial
Conventional:
Basic Charge R226.22
Energy Charge 132.13
Government/Mine
Town:
Basic Charge R251.61
Energy Charge 112.00
Time of Use
tariff
Basic charge:
R/month
Energy: c/kWh
Demand: R/kVA
Time -Of-Use :
Basic Charge:
R782.25
Demand
Charge: R99.91
Energy Charge:
Peak 164.82
Standard 70.10
Off-peak 38.90
N/A