The City of Joburg’s executive council has buckled to pressure from residents and civil action groups around the new R200 per month tax on prepaid electricity.
Member of the Mayoral Cabinet for Finance in the City of Joburg, Dada Morero, says that the executive in the city will review the R200 per month surcharge for prepaid electricity users in the city, which has caused upheaval and complaints among residents.
Anyone paying R500 to charge would only have received units worth R300, leaving many feeling short-changed. He also said that, despite the vitriolic pushback against the charge, it was not going anywhere and that it was “here to stay”.28th Extraordinary Council MeetingThe MMC said that the mayoral committee had noted and heard the concerns from communities and civil society organisations about the “R200 availability charge” and that it was willing to review it.
“Of course, the reviewal will have to take into consideration the necessary and relevant legislative processes that would have been undertaken to arrive at this amount – butMorero did not commit to any timelines for reviewing the amount, nor did he give any indication that it would be set aside in the interim – only that a review process would take place.The R230 surcharge was initially proposed at over R550 in the 2024 budget proposal.
However, energy experts have argued that the way the charges have been implemented is irregular and have hiked prices far beyond the approved rates from Nersa. The additional tax is also seen as particularly egregious as it was implemented at a time that the city was not even providing full electricity services, with load reduction fully in effect.
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