Michel de Rauville of Salt Rock writes:
I feel that the KwaDukuza municipality electricity increase of 17.8%, because of Eskom increasing the price by 15.67%, is totally out of proportion and unjustified.
I have little knowledge of current prices from Eskom to the borough, but I guess it must be about half of the price the ratepayers pay or even less than that, from my experience as a former chairman of Durban Electricity.
Let us assume, for simplicity, the ratepayers pay R2.00 per unit and the borough pays R1.00 per unit. A 17.8% increase would be R2.00 X 17.8% = 35.6 cents increase to ratepayers.
The borough would pay R1.00 X 15.67% = 15.67 cents increase.
Basically, the borough would be receiving almost 20 cents more profit than previously.
They could quite easily only charge us 15.67 cents extra per unit and receive the exact same amount as before.
That is R2.156 instead of R2.356 as envisaged above.
That would be only a 7.84 percent increase.
But they are doing exactly the opposite and increasing the percentage and blaming Eskom.
I let you judge what you make of our representatives.
They are there to fleece us ratepayers.
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