The proposed surcharges for electricity distribution in the City of Joburg, and envisaged review of the municipal tariff structure to reflect the Cost of Supply (CoS) in the open access electricity market is likely to break the back of consumers already overstrained by an underperforming economy.
This comes as the R200-a-month surcharge has drawn a chasm in the political leadership in the City of Joburg.
The DA in Gauteng yesterday said it had written to the mayoral committee member (MMC) for finance to urgently review or do away with this electricity tariff surcharge and provide clarity on the business surcharge and how it will be utilised to the benefit of residents.
A legal wrangle is also in the offing as the National Energy Regulator of South Africa (Nersa) has been enjoined by the SA Local Government Association (Salga) to try to overturn a court judgment favouring AfriForum.
The North Gauteng High Court last week ordered that municipalities whose cost studies are absent will have to continue charging electricity tariffs based on the existing rates approved for the 2023/2024 fiscal year.
