national energy regulator of south africa … · municipal tariff applications above the guideline...

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NATIONAL ENERGY REGULATOR OF SOUTH AFRICA

In the matter regarding Municipal Tariff Applications above the guideline increase – for implementation 01 July 2012 by 12 Municipal Distributors (listed below)

1. Baviaans 2. Bergrivier 3. Emnambithi 4. Gamagara 5. Inxuba Yethemba 6. Mbizana 7. Rustenburg 8. 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. 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.

II. Revenue not spent in accordance with the approval will be clawed-back in the following financial year.

III. 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. 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.


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. That the additional funds above guideline be ring-fenced and used solely for the purposes (i.e. infrastructural maintenance) it was approved for.

II. 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 clawed-back 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. That the additional funds above guideline be ring-fenced and used solely for the purposes (i.e. infrastructure refurbishment) it was approved for.

II. The municipality must submit a progress report on how it spends the additional revenue to undertake the infrastructure refurbishment by end January 2013.


6. Mbizana




7. Rustenburg

An above the guideline average tariff increase of 12.15% is approved as requested with the following conditions:



III. The Environmental levy of 2c/kWh is not approved as it is included in Eskom’s tariffs.

IV. 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


I. 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.


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. That the additional funds above guideline be ring-fenced and used solely for the purposes (i.e. electrical infrastructure maintenance) it was approved for.

II. The municipality must submit a progress report on how it spends the additional revenue undertake the infrastructure maintenance by end January 2013.


IV. 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. 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.

II. The municipality must submit a progress report on how it spends the additional revenue to undertake the infrastructural upgrade by end January 2013.


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. 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.

II. The municipality must submit a progress report on how it spends the additional revenue to undertake the infrastructure maintenance by end January 2013.


12. Kgetleng Rivier




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)

COMMERCIAL 2000 kWh

INDUSTRIAL

43800 kWh

(c/kWh)

Domestic

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)

Prepaid Conventional

61 – 66

77 – 82

104 – 109

124 – 129

130 – 135

130 – 135

132 – 137

1 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

Municipal Proposed

Percentage Increase for

2012/13

Motivation provided by municipalities for above-guideline increase

Baphalaborwa 21% Maintenance of electrical infrastructure

Baviaans 20% Revenue loss due to lower increases in 2010/11 and 2011/2012 financial years

Bergrivier 16.50% To cross-subsidise shortages in other departments

Centlec 17.17% Increase due to high electricity prices from Eskom

Ditsobotla 16% To accommodate high seasonal Eskom charges

Emnambithi 11.03% Restructuring of tariffs (municipality made a specific request to present at the hearing)

Inxuba Yethemba 13.5% Increase due to 16% electricity prices from Eskom

Kgetleng Rivier 12.15% Recovery of revenue losses from the financial year 2011/12

Rustenburg 12.15% Recovery of revenue losses from the financial year 2011/12

Umvoti 18% Infrastructural development (meter installation)

Mbizana 18% Maintenance of electricity infrastructure

Gamagara 23.83% 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

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

1. Baviaans 20.00%

Domestic Prepaid Energy charge: 114.00 Zaaimanshoek

Energy charge: 124.00

Domestic Credit

Basic charge: R105.60 Energy charge: 86.00

Commercial Prepaid Meter Energy charge: 116.00

Small Business Credit Single Basic charge: R136.80 Energy charge: 92.00 Small Business < 30A Basic charge: R271.20 Energy charge: 83.00 Small Business Credit 60A Basic charge: R422.40 Energy charge: 83.00

N/A Large Power Users Energy charge: 72.00 Demand Charge: R108.00

N/A

2. Bergrivier 13.50%

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

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

Commercial Prepaid Energy Charge : 108.00

Commercial Conventional Basic Charge: R458.00 Energy Charge : 98.00

N/A Industrial Large Users Basic Charge: R1242.00 Energy Charge : 68.00 Demand Charge : R130.00

N/A

Name of licensee & Percentage

Increase








Time of Use tariff


Block 2 : 71.00 Block 3: 77.00 Block 4: 88.00

Block 4: 98.00 Basic Charge : R128.00

3. Emnambithi

11.03% Domestic life line Supply Energy charge: 130.00

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 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


Increase








Time of Use tariff


Network Demand Charge: R37.39 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

64.22

4. Gamagara 14.00%

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 Single Phase Basic charge: R185.00 Energy charge:109.50 Commercial Conventional Three Phase Basic charge: R287.39 Energy charge: 110.00 Demand Charge: R46.62

N/A Industrial and Agriculture Basic charge: R1100.00 Energy charge: 81.00 Demand Charge: R51.57

N/A

5. Inxuba Yethemba 13.50%

Domestic Indigent Block 1 : 64.59 Block 2 : 80.44

Domestic Conventional Meters Block 1 : 77.17

Commercial Prepaid Energy charge: 136.04

Commercial Business Energy charge: 122.90 Basic charge: R198.83

Bulk Supply

above 50kVA 3 Phase

Basic charge:

N/A N/A


Increase








Time of Use tariff


Block 3: 95.07 Block 4: 97.16

Block 2 : 90.00 Block 3:113.38 Block 4: 115.88 Basic charge: R74.96 Domestic Prepayment Block 1 : 86.32 Block 2 : 104.00 Block 3:126.82 Block 4: 129.61

R320.10 Bulk supply/Kva Charge:R146.33 Energy charge: Low demand: For first 30000 kWh: 66.13 Above 30000 kWh: 65.09 High demand: For first 30000 kWh: 82.56 Above 30000 kWh: 85.64

6. Mbizana 13.42%

Domestic Prepaid Block 1 : 69.00 Block 2 : 85.00 Block 3:114.00

Domestic Conventional Block 1 : 69.00 Block 2 : 85.00 Block 3 :110.00 Block 4 : 129.00 Basic Charge : R129.80

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


Increase








Time of Use tariff


7. Rustenburg 12.15%

Domestic Prepaid Block1 : 66.00 Block 2: 82.00 Block 3: 94.00

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

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 High Season Energy Charges Peak : 238.00 Standard: 62.00 Off Peak: 33.00 Low Season


Increase








Time of Use tariff


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


Increase








Time of Use tariff


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/Phase 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


Increase








Time of Use tariff


Domestic Prepaid Indigents Energy Charge: 81.50

Conventional Tariff: Option 2 Energy Charge:130.70 Domestic Prepaid Energy Charge: 125.30

Availability Charge on lots proclaimed for residential use per lot, per month Availability charge: R78.00 Availability Charge on lots proclaimed for commercial or industrial use per lot, per month Availability charge: R78.00

R66.80 Demand Charge: R146.96

9. Baphala- Borwa

17.00%

Domestic prepaid Energy charge: 115.83

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

Commercial Conventional Basic charge: R176.90 Energy charge: 127.15

Industrial Low Voltage

Basic charge: R804.96 Energy Charge:61.31 Demand charge:R161.74

N/A N/A

10. Centlec (Pty) Ltd

Domestic Tariff I Summer

Domestic Tariff I Winter Block 1 : 82.00

Commercial Prepaid Tariff Basic charge:

Tariff VI Commflex Basic Charge: R300.00 Demand Charge :R00.00

N/A N/A Tariff VII (a) Elecflex 1 Basic Charge:


Increase








Time of Use tariff


(Kopanong, Mohokare & Naledi)

13.00%

Block 1 : 82.00 Block 2:100.00 Block 3:116.00 Block 4:136.00

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

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


Increase








Time of Use tariff


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

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


Increase








Time of Use tariff


Standard : 92.00 Off-Peak : 79.00 High Season Peak : 210.00 Standard : 130.00 Off-Peak : 125.00

11. Ditsobotla 15.00%

Domestic Low Energy Charge:105.00 Domestic Prepaid Energy Charge: 115

Domestic Conventional: Basic charge: R136.84 Energy Charge: 97.37

Commercial Prepaid: Energy Charge: 140.31

Commercial Basic Charge: R222.29 Energy Charge: 127.60

Industrial Basic Charge: R643.04 Demand Charge: R152.78 Energy Charge: 70.22

N/A Time -Of-Use : Basic Charge: R782.25 Demand Charge: R99.91 Energy Charge: Peak 164.82 Standard 70.10 Off-peak 38.90

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

Residential Conventional: Basic Charge R251.63 Energy Charge Block 1 66.00 Block 2 85.00 Block 3 102.00 Block 4 111.00

N/A Commercial Conventional: Basic Charge R226.22 Energy Charge 132.13 Government/Mine Town: Basic Charge R251.61 Energy Charge 112.00

Industrial: Basic Charge R1201.07 Demand Charge R138.79 Energy Charge 83.27

N/A N/A

national energy regulator of south africa … · municipal tariff applications above the guideline...

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