Johannesburg power utility City Power says it will cushion poor, low-income households from paying increased service and availability charges as new tariffs kicked in this week.
City Power customers are now paying an increase of 12,41% for electricity in line with the City’s approved tariffs for the 2025/26 financial year.
However, City Power says the increases will vary per customer category based on usage and tariff structure.
City Power Senior Manager for Pricing and Tariff Structures, Frank Hinda says, “Overall, it will be about 12,41% on average, but various customer categories will see different rates, because this is also driven by our cost of supply studies- that says certain customers contribute in a different way, to the cost of supplying electricity – and the pricing should be reflective of that.”
Hinda stresses that “Also, because for residential customers, we’ve got inclining block tariffs- it then means that as you use more, your price increases. So, the amount of money that you’re spending on electricity will also then be going up,” adding that “Indigent customers are still cushioned from this, because they’re still on the lowest tariff, and they will not be paying the basic charge of the R200 that other customers will be subjected to.”
PODCAST | The audio below is the full interview with Frank Hinda:
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