South Africa: Joburg Electricity Costs Spiral As City Suffers Covid-19 Revenue Loss

analysis

Johannesburg city bosses have pushed electricity tariffs so high that they are now the most expensive in the country. This was revealed in research conducted by Eskom. Now consumers are feeling the pinch.

Throughout the lockdown, and after new electricity tariffs were implemented by the Johannesburg city council in July, many people took to social media to post images of their metro bills which revealed astronomical tariffs, often adding up to more than residents' mortgage costs.

While City Power says it implemented the allowable 6.3% tariff increase granted by the electricity regulator, Nersa, the fine print is different.

Johannesburg levies a number of additional charges which amount to stealth taxes on city residents. Johannesburg is not alone in using electricity to boost municipal finances which are often depleted by sky-high staff costs.

An Eskom report on tariffs has revealed that "at an average consumption of 800kWh per month, the Tshwane tariff is 13% higher, Ekurhuleni is 18% higher, Cape Town is 25% higher and Johannesburg is 26% higher than Eskom".

In a reader-led special report by Daily Maverick's Insider community, high electricity costs for Johannesburg and Cape Town were most frequently reported by the audience.

Johannesburg is South Africa's biggest...

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