Mogale City stands by IBT Structure amid community concerns
In response to community concerns, Mogale City reaffirms that the IBT structure is legally valid and explains that its credit control measures are fair for all residents.
Mogale City Local Municipality (MCLM) has responded following the protest by the Azaadville community outside the Town Hall on 16 September.
According to MCLM communications practitioner Tendani Shavhani, the National Energy Regulator of South Africa (Nersa) approved the Incline Block Tariff (IBT) structure for the municipality on June 28 last year.
“This approval provided the legal basis for the municipality to implement the tariff adjustments and to apply credit control measures on accounts that are in arrears,” she stated.
• Also read: Municipality urges residents to manage electricity use under approved tariffs
After this was implemented, she added a group that challenged the IBT structure in court, where MCLM successfully defended the matter, and the following appeal by the ratepayers was also dismissed.
“The matter was then taken to the Supreme Court, where it remains pending and is therefore sub judice.”
@caxton.jhbwest A large group of protesters has gathered at Town Hall in the CBD to express their dissatisfaction with Mogale City Local Municipality’s electricity tariffs. Resident Zahir Nolvi told the Krugersdorp News that they have lived in Azaadville their whole lives but are extremely dissatisfied, leaving them little choice but to make their voices heard today, September 16. #fyp #protest #electricitytarrifs #krugersdorpnews ♬ original sound – Caxton JHB West
Shavhani reiterated, although they cannot discuss the matter that is before the courts, that:
• The IBT remains pertinent across the entire city, as it was approved by Nersa
• The tariff structure should be uniformly and without exception applied, as the municipality is legally obligated.
• All communities and groups are charged the same, as approved by Nersa, and credit control measures will continue to be applied fairly and consistently.
“Mogale City remains committed to compliance with regulatory approvals, fairness in tariff implementation, and respect for ongoing judicial processes,” she continued.
• Also read: VIDEO: Community rallies at Town Hall over power tariffs
She reminds ratepayers that the approved tariffs were designed to promote efficient energy usage, which charges higher fees for higher usage and lower fees for lower usage.
• Also read: Mogale City dispels court case claims over electricity tariffs
“This structure further encourages the use of prepayment accounts by households and micro-enterprises, enabling customers to better manage their electricity consumption. Residents in financial difficulty are encouraged to approach the municipality to enter a payment arrangement or to apply for Indigent Management relief, subject to meeting the criteria. These options provide structured support while the municipality intensifies debt collection measures to ensure continued service delivery,” she concluded.
