Vryheid residents raise concerns over missing electricity rebates
Mayor addresses electricity rebates, tariffs, youth funding and immigration concerns.
Vryheid residents expressed frustration at the beginning of June after purchasing electricity and noticing that they had not received their usual rebates, while the number of units allocated appeared lower than normal. In response to the concerns, AbaQulusi Local Municipality Mayor Sifiso Mkhwanazi addressed residents on AbaQulusi Community Radio, where he discussed electricity tariffs, rebates and plans for the 2026/27 financial year, which runs from July 1, 2026, to June 30, 2027.
Rebate system issue resolved
Addressing the rebate concerns, Mkhwanazi said the municipality experienced technical problems with its electricity vending system.
“On June 1, 2 and 3, we experienced a challenge with our Contour system, which was unable to process rebates. The issue has since been resolved. Residents who purchased electricity during that period are encouraged to buy electricity to the value of at least R10 so that the rebate can be processed. We apologise for the inconvenience caused.”
Addressing tariff concerns
Mkhwanazi also addressed the ongoing issue of electricity tariffs and the municipality’s engagement with the National Energy Regulator of South Africa (NERSA).
According to the mayor, Eskom informed the municipality that NERSA had approved an electricity tariff increase of 9.01% for the new financial year. Following consultations with communities, the municipality decided on its proposed tariff structure of 9.9% and submitted it to NERSA for approval.
“We received feedback from NERSA indicating that our proposed tariffs, particularly those applicable to businesses, were lower than what the regulator expected. NERSA wants the municipality to implement higher tariff increases, but we believe this would place an additional burden on residents and businesses.”
He said the municipality’s legal team is preparing a response to NERSA and that discussions are continuing.
Municipality opposes higher increases
“We have received several complaints from business owners, who say it is becoming increasingly difficult to operate due to rising electricity costs. We hope to reach an agreement with NERSA by the end of the month and do not intend to increase tariffs beyond what has already been proposed.”
Undocumented immigrants discussed
During the discussion, Mkhwanazi also spoke about efforts to address issues relating to undocumented immigrants.
He said the municipality is working with various stakeholders and government departments to ensure that any operations are conducted within the framework of the law.
“We have engaged with community organisations and recognise that co-operation with departments such as Home Affairs, the South African Police Service, Public Safety and immigration authorities is necessary for any operation to be successful.”
Funding allocated for youth development
The mayor also rejected claims that no funding had been allocated to support young people in the new financial year.
He said the municipality has set aside R150,000 for each ward to support youth entrepreneurship initiatives and provide start-up funding for small businesses.
Support for agricultural projects
In addition, R50,000 has been allocated to each ward for agricultural projects aimed at encouraging greater participation in the agricultural sector and creating economic opportunities for residents.
The news provided to you in this link comes to you from the editorial staff of the Vryheid Herald, a sold newspaper distributed in the Vryheid area.
