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Electricity Pricing Comparison Across the Eastern Cape

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One would think that with NERSA approving Eskoms electricity tariffs that we would have standard tariffs across the country but that is a fallacy as each municipality sets it’s own tariffs and products available to the consumer. Consequently navigating the tariffs can be a bit of a nightmare/thumbsuck.

Straton Solar have done some heavy lifting and say; “NERSA does publish the tariffs for every municipality in the country so we have extracted some example figures that are more pertinent to most of our Solar clients and their situations.”

For this exercise we are looking at the following price comparisions per municipality:

  1. The highest charge per kWh for conventional (post paid) electricity for domestic consumers
  2. The highest charge per kWh for conventional (post paid) electricity for commercial consumers (Single Phase)
  3. The Small Scale Embedded Generation (SSEG) Charges Basic Charge per month (Solar Panels)
  4. The highest charge for SSEG per kWh for Domestic Consumers
  5. The highest charge for SSEG per kWh for Commercial Consumers

NB: Before making sweeping assumptions (I am talking to YOU, Mark!) please be aware that the tariffs differ remarkably and certain ‘hidden charges’ are not reflected. In order to make a really informed decision about whetther a municipality is the cheapest one must look at your average consumption over the last 12 months and then do the comparison. The figures below take a snapshot of the highest tariffs in each of the electricity service charge products.

1. The municipality with the highest charge for domestic electricity per kWh on the highest Inclined Block Tariff (IBT) is Kou Kamma. Nelson Mandela Bay is 14th on the list with Makana boasting the cheapest tariff in this block.

Municipality Tariff in c/kWh Tariff in R/kWh
Emalahleni 287.59 R2.88
Umsobomvu 285.5 R2.86
Raymond Mhlaba 283.24 R2.83
Sakhisizwe 282.26 R2.82
Kouga 279.92 R2.80
Matatiela 277.69 R2.78
Nelson Mandela Bay 276.64 R2.77
Senqu 274.95 R2.75
Inxuba Yethemba 266.54 R2.67
Walter Sisulu 254.19 R2.54
Buffalo City 248.824 R2.49
Great Kei 248.49 R2.48
Sundays River 243.1 R2.43
Dr Beyers Naude 241.85 R2.42
Elundini 239.86 R2.40
King Sabata Dalindyebo 222.83 R2.23
Makana 208.79 R2.09

2. The municipality with the highest charge for commercial electricity per kWh on the highest IBT is Buffalo City, Nelson Mandela Bay is 7th on the list and the cheapest tariff in this block is in Elundini.

Please remember that if you are looking for a municipality with the lowest tariffs as you want to move your business you must also take into consideration the domestic tariffs. One assumes that a commercial venture will use more electricity than a domestic home so this set of electricity charges is the one that attracts or repels the most people looking for a new home for their business.

Municipality Tariff in c/kWh
Buffalo City 301.77
Inxuba Yethemba 301.07
Elundini 289
Emalahleni 296.33
Kou Kamma 289.39
Umsobomvu 264.81
Sundays River 262.28
Nelson Mandela Bay Metro 257.53
Mbizana 255.93
Makana 250.81
King Sabata Dalindyebo 248.94
Blue Crane Route 248.75
Great Kei 248.49
Matatiela 247.06
Raymond Mhlaba 246.65
Senqu 242.47
Ubuntu 239.92
Ndlambe 239.6
Enoch Mgijima 224.42
Walter Sisulu 222.32
Dr Beyers Naude 220.61
Amahlathi 219.65
Kouga 199.5
Sakhisizwe 169.94

3. When you install solar panels you are marked as a SSEG site and municipalities charge a monthly amount for ‘admin and use of the grid as a battery’. These charges are in a great state of flux and demand very careful consideration as a high monthly amount may be completely negated by very much lower tariffs per kWh.

As it is only two municipalites have published their tariffs with NERSA and the consumer scores in Nelson Mandela Bay with the lowest monthly recurring set tariff.

4. Along with a set monthly tariff municipalities place SSEG clients on a Time of Use tariff over three set times: Standard, Off Peak and Peak. Peak normally falls in the time when demnand is highest for electricity and the sun is low or gone ‘forcing’ SSEG sites to draw from the grid or battery.

For domestic SSEG clients the Nelson Mandela Bay Municipality charges the highest amount for peak usage whilst the Buffalo City municaplity is around 25% of the NMB rate.

5. For commercial SSEG clients the Nelson Mandela Bay Municipality charges the highest amount for peak usage whilst the Buffalo City municipality is the cheapest.

This should not affect commericial clients with normal office hours.

Figures and research courtesy of Straton Solar.

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Alan Straton

Chief Cook, Bottle Washer and Broom Mechanic at MyPE
Passionate about Port Elizabeth and definitely NOT packing for Perth. Alan's ethos is epitomised in the words of Nelson Mandela; "I have fought against white domination and I have fought against black domination. I have cherished the idea of a democratic and free society. If need be, it is an ideal for which I am prepared to die." See more articles by Alan.