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Those confusing Electricity Rates – which ‘supplier’ is the cheapest?

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One would think that with one national electricity supplier there would be one standard rate across the country but, one can only assume in the interests of keeping people busy and employed, there are literally hundreds of different tariffs. This means that making comparisons between Eskom and Municipalities is pretty much an exercise in futility.

Whoever would have thought that, in certain circumstances, it costs you more to charge your phone (or use any electrical appliance for that matter) at home than at work or that your direct neighbour could be paying less per unit for his electricity than you – welcome to the mad world of government control of power.

Recently Chris Yelland, in an article on EE Publishers made progress in comparing the different tariffs between the major municipalities and Eskom. Realise that when you read the article and rates that the comparison figures are one small component of the many and varied tariffs ‘available’.

In an attempt to further dumb down the rates and compare them for our readers we have assumed the following:

  • MyPE domestic readers consume more than 1000 kWh per month
  • They are on a Single Phase 80 A Supply
  • All are on the credit meter tariff

Nelson Mandela Bay charges the 3rd highest rate per kWh:

  1. Cape Town: R1.8681/kWh
  2. Eskom: R1.8313/kWh
  3. Nelson Mandela Bay: R1.689/kWh
  4. Tshwane: R1.4723/kWh
  5. Ekhurhuleni: R1.4478/kWh
  6. eThekwini: R1.3146/kWh
  7. Johannesburg: R1.2732/kWh *

The comparison between kWh tariffs looks like:

MyPE


 

Only two authorities raise a monthly fixed charge:

  1. Cape Town: R0.00 per month
  2. Eskom: R90.00 per month
  3. Nelson Mandela Bay: R0.00 per month
  4. Tshwane: R0.00 per month
  5. Ekhurhuleni: R0.00 per month
  6. eThekwini: R0.00 per month
  7. Johannesburg: R435.55 per month – if you consume 1000 units per month then the tariff per unit will be R1.7807 per unit (and gets cheaper the more units you consume) putting Johannesburg at the 3rd highest kWh tariff.

The comparison between Monthly Fixed tariffs looks like:

MyPE


 

* It must be noted that City Power (Johannesburg) is the only authority that has two additional Inclined Block Tariffs (IBT) beyond 1000 units consumed: R1.3433 for consumption from 2001 to 3000 units and R1.4092 for any consumption above 3000 units.

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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.