City Power to review tariff system

2012-09-17 18:08


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Johannesburg - Johannesburg City Power will form consumer groups to review and improve their inclined block tariff (IBT) system, the company said on Monday.

"As part of... continuous improvement, the IBT review process will include public and customer participation to ensure that the views of all affected parties are catered for in the new tariff process for the next financial year," said City Power marketing director Sicelo Xulu in a statement.

The company implemented the IBT system in 2007, which divides tariff rates into blocks. The more electricity a customer uses, the higher the rate the customer pays.

City Power said it was in reaction to power shortages and load-shedding by Eskom.

Xulu said the company would work with customers to help them lower their consumption to lower tariff blocks.

It would also create regional customer forums with the National Energy Regulator of SA (Nersa) as a platform for communicating with customers on the IBT.

City Power would also inform customers before they were moved to a higher or lower electricity tariff. It would also provide them with advice to manage their consumption.

The company had recently met with Nersa officials to discuss customer-complaints about the IBT system and its implementation.
"At the meeting City Power committed to continuously assess the impact of the system on individual customers.

"It was also agreed that customers will be informed each time their individual tariff block is due for review before the actual change of the tariff takes place," Xulu said.

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