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Monday, July 15, 2024
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THIS IS HOW THE NEW COST OF SUPPLY ELECTRICITY TARIFFS WILL WORK

HERMANUS – From 1 July 2024, Overstrand Municipality will implement the first phase of a four-phase rollout of their new cost reflective electricity tariffs. These tariffs are based on a comprehensive cost of supply study done by the Municipality to comply with NERSA (National Energy Regulator of South Africa) requirements.

The new tariffs will apply to all consumers within the municipal supply area of Overstrand and the rates will be applied from the new financial year, 1 July.

The new tariff structure includes splitting the Basic Monthly Charge into a

  • Monthly Charge and a
  • Capacity Charge.

This gives customers an opportunity to manage their own capacity and electricity cost. The fixed infrastructure and energy (kWh) charge will remain, while the inclining block tariffs will phase out over the four-year period.

Overstrand has standardised on prepaid meters, so all new connections will be provided with a prepaid electricity meter at the approved annual tariffs.

Registered indigent households will be limited to a 30Amp supply, and capacity charges for Uilenkraalsmond Resort will be calculated at 30Amp. Any other non-standard connection sizes will be addressed as and when needed by the electrical department.

All customers with a 60Amp prepaid connection will have the opportunity to change their connection size once, free of charge in the 2024/25 financial year. They can choose to change their connection size to 30Amp, 40Amp, 50Amp or 60Amp.

Take note of the following:

  • Customers will be allowed to upgrade or downgrade their connection size without changing their main circuit breaker or providing a Certificate of Compliance (COC). However, if their meter trips on overload more than once, a call-out fee will be charged. In such cases, the customer will be required to either change their main circuit breaker and provide a COC or switch to a more suitable capacity at the approved annual rate.
  • All postpaid (credit meter) customers who wish to downgrade from 60Amp to 30-, 40- or 50Amp, will be required to change to prepaid. Prepaid meters will be set to the relevant sizes.
  • Customers are allowed to upgrade their connection size as many times as needed at the annual approved rate. However, they are only permitted to downgrade once in a financial year.
  • Changing between different connection sizes will be network permitted and these tariffs will not apply to customers within all low-income housing areas or SSEG connections.
  • All commercial customers (businesses) will also have the opportunity to change their connection size, but this will require payment of the applicable “change of circuit breaker” tariff and completion of a new Electricity Supply Agreement.
  • Applications for decreased capacity in SSEG connections will only be approved by the Principal Technician or Principal Engineer: Electrical Services, as the approval is capacity dependent.
  • Changing between connection sizes will only be available to properties with an electricity connection and not to any open/empty even.

This is how the changing of amps will work for standard connection sizes:

All customers who wish to change their connection size must complete an Electricity Supply Agreement

Once the necessary documentation is received, the electrical department will issue a works order for setting the prepaid meter to the relevant connections size or changing the circuit breaker where applicable

All connection information will be filled out on the works order and forwarded to the finance department for updating on the financial system.

Forms can be accessed on the municipal website, www.overstrand.gov.za under Documents > Electricity, or obtained from the finance department at any Municipal Office. Alternatively, forms can be requested from enquiries@overstrand.gov.za PRESS RELEASE

 

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