Cosatu to join Women’s Day consumer protest against electricity tariff hike

Nersa says it continues to receive numerous complaints about the City of Cape Town’s tariff hike. Picture: Armand Hough/African News Agency (ANA)

Nersa says it continues to receive numerous complaints about the City of Cape Town’s tariff hike. Picture: Armand Hough/African News Agency (ANA)

Published Aug 4, 2023

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Cape Town - A protest against the City’s recent electricity tariffs, organised by Cape Town consumer group Electricity Prices Must Fall, has gained momentum with support from Cosatu, which will join the group outside the Civic Centre on August 9, Women’s Day.

Electricity Prices Must Fall spokesperson Natasha Greste said Cosatu extended its support for the protest “because everybody is feeling it, and especially the working class”.

Greste said they were staging the picket because of inadequate response from the City with respect to its electricity tariff increases.

She said Electricity Prices Must Fall invited Cosatu, despite opposition from some of its members, because the fight against the tariffs needs all Capetonians to stand together.

“We welcome those who want to join us because we want the numbers there; we want the support there. We want to show the City that we can gather and be united, despite the City wanting to divide us.

Electricity Prices Must Fall spokesperson Natasha Greste. Picture: supplied

She said the City would be confronted by a united group of citizens fighting the same struggle together because nobody was exempted from the pain of the tariff hike.

Cosatu provincial secretary Malvern De Bruyn said Cosatu was pledging its “unqualified support” for the planned protests in front of the Civic Centre.

“Cosatu supports the call by the people of Cape Town in the fight against the arrogant DA-led City that has decided to unilaterally release the electricity tariffs to 17.6%, despite Nersa recommending 15.1%.

“This is not a political rally, it’s a rally of concerned people. In any case many of the people have voted for the DA in the past and these hiked tariffs are the thanks they get.”

Cosatu provincial secretary Malvern De Bruyn. Picture: David Ritchie/African News Agency (ANA)

The City, however, remains unmoved by the planned protest, with energy Mayco member Beverley van Reenen repeating on Thursday that the tariffs were approved by full council in terms of the Municipal Public Finance Management Act, after public participation.

“The material issue is that Eskom increased tariffs by 18.5%. This increase remains, and is a massive contribution to the input cost for electricity, given that municipalities have to purchase electricity from Eskom.

“Nersa’s recommendation of 15.1% could potentially lead to a shortfall in excess of R500 million in this 2023/24 financial year,” she said.

Mayco member for energy Beverley van Reenen. Picture: Phando Jikelo/African News Agency

Van Reenen said the current tariff income was already not cost-reflective of what it costs to provide electricity services, and the shortfall would place service provision at severe risk.

The protest will be on the station side of the Cape Town Civic Centre from 10am to noon.

Electricity Prices Must Fall obtained a legal permit from the City, which agreed to send three “mayoral representatives” to collect their memorandum after the mayor declined an invitation to attend.

The new tariffs came into effect on July 1, and meant that if on June 30 you paid R161.90 for 150 units, from July 1 you paid R190.40.