Johannesburg residents will be expected to cough up 30% more for their electricity if the council approves the budget for the 2009/10 financial year.
Johannesburg executive mayor Amos Masondo will propose a 30% rate increase for electricity costs, in expectation that the National Energy Regulator of South Africa (Nersa) will approve a 30% tariff increase for Eskom, the national electricity supplier.
”Basically we have provided for an increase of 30% on Eskom’s behalf, but if they do go for the 34%, it will mean a 4% impact on all accounts, but we will go back to council with a new tariff proposal in that regard,” said Rosslyn Greef, mayoral committee member for infrastructure and services.
In the current proposal, residents can expect a 30% increase on their electricity bills, should the budget be approved.
”We’ll be paying 30% at this stage. It’s quite hard to average, tariffs reflect differently on different levels, as the more you use, the more you pay, but that is the average we cater for,” said Greef.
”We hope that Nersa will approve an increase of 30% so that we do not have to go back for a further increase that will impact on ratepayers.”
The city expects an increase of revenue through electricity from R5 564 857 in the 2008/09 budget to R6 909 043 for 2009/10.
Masondo said they allocated a budget of R825-million for City Power.
”Bulk infrastructure in various areas has been allocated R246-million, public lighting R60-million, electrification of Ennerdale South and various areas R92-million,” said Masondo.
He added that network upgrade in various areas had been given R46-million, metering R36-million, service connections R70-million, load management R77-million and replacement of cables R94-million. — Sapa