The City of Johannesburg (CoJ) has announced plans to review the R200 surcharge on prepaid electricity meters in response to concerns raised by residents and various stakeholders, according to Finance MMC Dada Morero.
Morero emphasised the importance of balancing infrastructure maintenance, upgrades, and services, including the cost of supply studies conducted by City Power, with the financial capacities of residents. “Our goal is not to overburden the residents and businesses of Johannesburg but to ensure a financially viable city that is well maintained and well run for the benefit of more than six million residents,” he stated. The city’s R200 electricity availability charge is a fixed fee designed to secure revenue for sustained service delivery, infrastructure maintenance, and upgrades necessary to supply electricity to residents. While CoJ is assessing the affordability of this charge, it remains committed to the urgent infrastructure maintenance needs, Morero explained.The review of the additional R200 charge will involve consultations with CoJ’s executive committee, City Power, the National Energy Regulator of South Africa, and State-owned Eskom.
Morero highlighted that a municipality can only adjust its budget once in a financial year, following a mid-year performance review. The National Treasury will also be engaged in the review process to ensure any changes are reflected in the adjustment budget. “We urge ratepayers to continue paying their municipal accounts every month,” Morero said. He also welcomed the Energy and Electricity Minister’s comment that the affordability of electricity should be investigated, noting that the generation and distribution of electricity require a multifaceted approach by all levels of government.