The National Energy Regulator of South Africa (Nersa) has approved a 13.07% average tariff increase for the City of Tshwane Municipality.
“The regulator confirmed that it approved a 13.07% average tariff increase for the City of Tshwane Metropolitan Municipality for the period 1 July 2019 to 30 June 2020. The approval follows a public hearing held on 11 July 2019 to consider the application by the City,” said the regulator on Friday.
The approved tariff has been implemented from 7 August 2019.
“The city must ensure that all tariffs charged from 1 July 2019 comply with Nersa’s decision of 7 August 2019,” said the regulator.
The decision follows on the regulator’s public hearing into the city’s 13.07% tariff application and restructuring of its tariffs that was held in July.
In April 2019, Nersa called for comment on the municipal tariff guideline, benchmarks and proposed timelines for the municipal tariff approval process for the 2019/20 financial year.
Nersa must approve an annual percentage guideline increase for municipalities, as municipalities require this before they draw up their applications for new tariffs, which are submitted to Nersa.
In its decision, the regulator further decided not to approve the revised tariff structures because the city did not comply with the requirements of the Electricity Pricing Policy.
