City Power customers were surprised to learn about a new R200 service fee when buying electricity on Monday.
City Power’s prepaid customer base now incurs a monthly R200 service fee if they are not registered as indignant.The R200 service fee seemingly took Johannesburg residents by surprise when it came into effect on Monday.
This new service fee was approved by the National Energy Regulator of South Africa and sits over and above a 12.7 percent increase in electricity tariffs. The R200 fee isn’t charged to households classified as indigent and earn less than R6 000 per month. “City Power will over the next few years gradually subject the prepaid customer to a more appropriate contribution to the cost of supplying the particular customer category with the introduction of a total basic charge of R200. This consists of a R70 service charge and a R130 network capacity charge before consideration of VAT,” City Power said in a statement.
As such, reaction to R200 suddenly being reserved for a service fee and effectively giving customers less power than what they paid for has been vitriolic to say the least.
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