Consumers face steep electricity tariff increase

2016-06-09 06:00

KOUGA residents will face a steep electricity tariff increase of an average 7.78%, which will come into effect on July 1, 2016.

According to the agenda of the ordinary council meeting held on May 31, this average percentage price increase covering all tariff categories is marginally higher than the benchmark of 7.64% set by NERSA for the 2016/ 2017 financial year. The main reason for the higher than benchmark increase, is the higher increase in the bulk time-of-use tariff.

The energy charges and the percentage tariff increase for domestic consumers are as follow.

Block 1: 0 - 50kWh - 6.6%

Block 2: 51 - 350kWhh - 7.4%

Block 3: 351 - 600kWh - 7.7%

Block 4: >600kWh - 7.7%

Commercial consumers will pay between 7.6% and 7.7% more for both single and three phase electricity.

Normal bulk consumers will face an average price increase of 8.2% (low voltage consumers) and 8.4% (high voltage consumers). Time-of-Use (TOU) bulk consumers will fork out 8.8% (low voltage consumers) and 8.9% (high voltage consumers) more for electricity.

According to the agenda, the Kouga Municipality will continue to explore appropriate ways of structuring the tariffs for the electricity service. These include encouraging more efficient use of these services, generating the resources required to fund the maintenance, renewal and expansion of the infrastructure required to provide the service, and keeping the service as affordable as possible.

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