City Power to review tariff system

2012-09-17 18:08

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.

  • Xavier7034 - 2012-09-17 18:46

    Pay my bill this month - two people - 3 times more than it was just 36 months ago!

      max.reynecke - 2012-09-17 19:17

      The tariffs of the grant receiving parasites will be reduced while you will pay more.

  • Ze Don - 2012-09-17 19:29

    I've got a better idea. Cap the amount of free electricity the so called poor get. Check ALL the meters for accuracy, including pre-paid. Remove all illegal connections. Then and only then can you start talking to the honest rate payers!

  • RoryKlein - 2012-09-17 19:47

    First bring your system in place that results in your collecting what is owed. If not paid then cut the supply to the user. Why must I as a prepaid customer have to suffer because of those that dont pay? If these individuals that haven't paid no longer receive electricity then we have less chance of having loadsheding. Stop paying these ridiculas bonuses and start putting money back into the infrastruction. Lastly please explain why I pay more for my electricty as a citizen of SOUTH AFRICA, than someone in ZIMBABWE? To top things off further I am expected to switch off and pay more for what I use, but I dont see them cutting supply outside the country and to those individuals that are in arrears ....

      dave.elmore.5 - 2012-09-17 20:34

      Correct, moved to new offices in Midrand over a year ago, still no meter, apparently the McDonalds down the road, no meter for over 2 years...

  • jacqui.grigg - 2012-09-17 21:00

    Ok. My house runs on energy saver lights only. There are no lights on unless I am in a room and chargers are unplugged when not in use. Standby appliances are switched off and I have resorted to having tinned tuna and salads (thank goodness it is summer) so that I can limit use of my stove. My clothes are washed on the quick 30 minute cycle with cold water and I dont have a dryer. My poolpump is running on reduced hours and never during peak time. I do draw the line at switching my geyser on and off. If my geyser should pack up and my homeowners insurance finds out I had been switching it on and off they will repudiate my claim. And lets not forget that the geyser is set at 60 degrees. So my question is. Where else and more must I cut to save electricity? Thankfully my oxygen intake is not rationed. Or charged for. Yet.

  • renier.lubbe.7 - 2012-09-17 21:53

    This use more pay more method is a disguised method of collecting more revenue. The tables (blocks) are carefully researched and calculated to place the user in the "next" block. Eskom does not charge the cities in blocks why must residents pay in "blocks" I am sure that most households do their best to save electricity, even the rich, as electricity wasted = money wasted. All the energy saving this and energy saving that (including energy saving lights and geysers) are extremely expensive and one has to recover the energy saving costs before the "electricity saving" to one's pocket can be calculated. Input energy saving costs are never fully recovered. The more we save = less revenue = increased tariffs.

      jacqui.grigg - 2012-09-18 07:52

      What you are saying Renier makes so much sense, that I wonder why that lightbulb moment has never occurred to me. In the long run, less is more I guess.

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