High electricity tariffs investigated
If an overcharge is proved, credit will be passed to overcharged customers.
Last year on 13 November the news reported on Krugersdorp’s alleged high electricity rates.
Nkosana Zali, Mogale City Local Municipality’s spokesperson could not, and still can not, be reached for comment.
According to national daily papers Mogale City Local Municipality was the only municipality in the country charging more than the National Energy Regulator’s (Nersa) approved tariffs for 2015.
The news turned to Christo Peyper, DA Caucus leader for Mogale City, for answers and received surprising news.
“It seems as though the wrong calculations were made by the news reports. We can not identify how the rumour came to be.”
Dennis Pretorius, the DA’s spokesperson for Finance, stated that Nersa held a meeting with the municipality. Mogale City indeed did overcharge, but only prepaid electricity users.
Minister Pravin Gordhan responded to a question raised in Parliament by the Democratic Alliance last year that Mogale City is not applying the Nersa-approved tariffs correctly.
“It was claimed by the minister that Mogale City is overcharging customers for electricity. Both Nersa and the minister have failed to respond to several letters I sent to them,” said Pretorius.
He also phoned Gordhan and Nersa to establish the fact behind the claim of overcharging but neither has bothered to answer the question, or they do not have the answer, said Pretorius.
Since the answer in Parliament, Nersa has met with Mogale City officials and it was said a joint press release will follow but to date that has not happened.
Pretorius said he was informed that the tariff for prepaid electricity in fact has been applied incorrectly during a previous budget cycle, but it was a very small difference and the matter is being investigated. It is likely that prepaid customers who were overcharged would be credited, once the overcharge is confirmed.
“The DA will ensure that a report is presented to council and that credit will be passed if the overcharge is proved.”
The news will keep readers informed of the outcome.
Mogale City’s website discloses its average increase of 7,49 per cent for the 2014/2015 financial year, which correlates with the increase Nersa approved.
The Electricity Regulation Act states that a licensee may not charge a customer any other tariff than determined by Nersa as part of its licensing terms and conditions.
