Nersa to mediate after complaint over City of Cape Town electricity tariffs

File picture: Bhekikhaya Mabaso/African News Agency (ANA)

File picture: Bhekikhaya Mabaso/African News Agency (ANA)

Published Sep 9, 2019

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Cape Town – Electricity tariffs that have enraged

residents and prompted activism

from civil society will come under the

spotlight when the National Energy

Regulator of SA (Nersa) steps in to

mediate between the City and the

public this week.

This comes after Nersa received a number of complaints from residents about high tariffs.

They are set to meet with the City and civic organisation Stop City of Cape Town (COCT), among other organisations, tomorrow.

Nersa spokesperson Poppie Mahlangu confirmed the meeting.

Stop COCT spokesperson Sandra Dickson said: “We want the City of Cape Town and Nersa to come and engage with people as authorities are not helping the public.

“We are asking the City and Nersa to explain how these tariffs were arrived at and how these discrepancies could have been approved in the first place. The increase was 'technically a lie' as some residents were paying

Dickson said this mediation process was Nersa’s way of engaging the public, according to their mandate.

“Stop COCT has been fighting COCT tariffs, structure and increases for three years now and have wide support.

"We have the correct technical facts and will demand answers from Nersa and City Of Cape Town.”

City mayco member for energy and climate change Phindile Maxiti said the tariffs were approved by council as part of the City’s 2019/2020 budget.

“Nersa also approved the majority of the City's 2019/2020 tariffs. The new tariffs came into effect from July 1, 2019, the start of the new municipal financial year. A decision will be taken on completion of the assessment of the information."

Maxithi said electricity prices were influenced by the fact that 65% of the tariff goes towards buying bulk electricity from Eskom.

“The 2019/2020 tariff increases have been kept as low as possible at 8.88% compared to the 15.6% increase implemented by Eskom.

"Nersa has not indicated any intent to investigate the City's tariffs, as they approved the same tariffs. Residents were also afforded the chance to give input during the public participation sessions, which were held in April 2019 on the City’s 2019/2020 budget.”

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