[Listen to Cllr Sue Bentley on the planned resistance action]
Dear Editor
The DA has called for provincial government intervention after the Buffalo City Municipality (BCM) approved sky-high electricity tariff increases for domestic and business users.
The tariff increases were included in the 2024/2025 budget that was adopted on 31 May 2024 at a council meeting in East London.
The imposition of the service charge, payable per month, even if no electricity is used, will result in an increase in cost to prepaid consumers of between 4% and 11%.
Domestic consumers on credit meters are more drastically affected, paying between 18% and 30% more, largely due to the increase in the service charge from the existing charge of around R76 to around R760.
This must be contrasted against the NERSA approved increase of around 12%.
At no stage in the budget process was the impact of the Cost of Supply Study on the tariffs discussed in the Council, nor was there a public participation process conducted.
Because the budget documentation was circulated on the day before and even on the day of the Special Council meeting, the DA was unable to consider the documentation. We also wrote to the Speaker highlighting this and requested that the Special Council be postponed so that we can study the budget and make input
Despite opposition, the ANC majority passed the budget.
Not only did the municipality not consult the community on the budget and tariffs as is required, but has belatedly issued a notification to customers who receive accounts by email, merely informing them that there was a redesign of the prepaid tariff, without any indication how it may impact such consumers, or how it will be implemented.
We have written to the DA EC Shadow MEC for Finance, Dr Malcolm Figg MPL, to take this matter up with the MEC for Finance and Provincial Treasury.
The processes followed in adopting the budget was flawed and, therefore, also the approved electricity tariff increases.
It is totally immoral to increase tariffs and punish already struggling residents when hundreds of millions of Rands are lost because of municipal incompetence and mismanagement.
The DA will fight to protect our residents from the incompetent government who cares nothing for their struggles during the worst cost-of-living crisis ever.
Regards
Cllr Sue Bentley
DA Buffalo City Caucus Leader
Nickname Master
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