Approved tariff hike by energy regulator won't affect customers with same increase, says City Power
Tariffs are determined by some key factors including industry inflation, operational costs and cost structure - said City Power.
Bright lightbulb, electricity. Image: Pexels from Pixabay
JOHANNESBURG - City Power says its approved tariff increase by the National Energy Regulator of South Africa does not mean every customer will see the same increase.
On Friday, the power utility announced residents would face a 12.7% increase from 1 July 2024.
Tariffs are determined by some key factors including industry inflation, operational costs and cost structure - said City Power.
City Power said it reviewed its tariff structures and levels annually to determine changes in the price of electricity for its customers.
“City power will over the next few years gradually subject the prepaid customer to a more appropriate contribution to the cost of supplying the particular customer category with the introduction of a total basic charge of R200. This consists of R70 basic charge and R130 network capacity charge before consideration of VAT [value-added tax],” said City Power spokesperson Isaac Mangena.