Durban - AS the National Energy Regulator of SA (Nersa) approved steep electricity tariff increases, eThekwini Municipality residents can expect a slightly smaller hike in their power costs.
EThekwini Head of Electricity Maxwell Mthembu said the city was still to meet Nersa to determine the tariff for ratepayers.
However, “we will pass the increase from Nersa to customers although this could be less than what Eskom would be charging us”.
He said the tariff increase of 18.65% for the 2023/24 financial year, which is effective from April 1, would be added on to what the municipality would have to pay for electricity from Eskom.
The municipality’s customers could expect to pay between 16 and 17% more for electricity.
The tariff hike of 18.65% has been met with outrage by councillors, civil society and some municipalities in the province. They say residents cannot afford such a steep increase and may not be able to meet this obligation.
EThekwini councillor and Democratic Liberal Congress leader Patrick Pillay said the electricity increases would hurt all citizens, especially the poor and pensioners.
“Pensioners are struggling to survive with basic needs stretching their state pension to the extreme.
“Any further increases will suffocate their budget and create mayhem within our communities,” he said.
uMngeni mayor Chris Pappas described the increases as uncaring and unsympathetic.
“The failures of the national government and Eskom are now being passed on to the hard-working men and women of South Africa.
“We cannot remain silent as the sphere of local government is meant to empower and advance the best interests of local communities,” said Pappas.
“This shows a complete lack of understanding of the difficulties that South Africans are currently facing.
“Many small businesses are not coping under the ridiculous stage 6 blackouts.
“With this and the tariff increase, they will be forced to close their doors or shed jobs to save costs: further increasing the levels of poverty.”
The increases would only intensify the problems that local governments already faced, he said.
“Last week we visited the Mlotshwa family in Karkloof. This family used all their savings to build a home over many years.
“Due to load shedding and the damage caused to electrical equipment, the house was engulfed by fire. This family lost everything.
“This story is one that many people in uMngeni have experienced – losing food, appliances, and now their homes,” he said.
Msunduzi mayor Mzimkhulu Thebolla said his municipality was at its wits’ ends, adding that in the budget they passed last year, they had sought permission to implement what could be considered cost-reflective tariffs, meaning they wanted to charge what it cost them to supply electricity to communities.
“These tariffs will be steep and will be hard for consumers to bear, we as Msunduzi will do all we can to shield our residents from harsh increases, the communities are going to suffer in light of the current economic climate,” said Thebolla.
He added the municipality was offering the service at a loss and it seemed they would continue to do so.