DA requests investigation into excessive municipal electricity prices

Fred Nel MPL

Spokesperson on Local Government

The DA in Gauteng will request an investigation by Local Government and Housing MEC Ntombi Mekgwe into alleged excessive municipal electricity prices in the province.

According to NUS Consulting energy analyst Elton Bosch municipalities bill large consumers and households at rates far higher than those approved by the National Energy Regulator of SA (Nersa). It was expected that surcharges by the authorities to have increased by up to 95%, on top of the 6% growth in the standard electricity prices.

Bosch also questioned the effectiveness of oversight and indicated that the tariffs charged by municipalities were one area that the energy regulator had to improve on. The full Business Day report is available here.

Potentially irregular excessive electricity prices, on top of the recent fuel price hike and the looming threat of e-tolling, places a further financial burden on the already stretched inhabitants of Gauteng.

The DA calls on the MEC to, in conjunction with Nersa, investigate electricity prices across the province and perform effective oversight over municipal electricity tariffs.