Electricity Charges

[NicVegas]

Hi

My wife's business recently moved into an office space in Kramerville.

While our usage of electricity is around R300 a month we are charged roughly R2000 - R3000 with the majority of the charges being service and capacity charges.

It's our first experience in a big office park but cannot believe these charges can be legitimate.

Anyone have experience with this or advice?

Thanks

 

[lowriderza]

I have a bit of experience with this, not sure about the legalities. Basically if you rent an industrial space that has the capacity to run heavy duty machinery the municipality will levy a demand charge, basically reserving the extra amps for your site. So even if there's multiple tenants the cost of this feature will be split amongst the units, as all tenants have access to this feature.

 

[NicVegas]

I have a bit of experience with this, not sure about the legalities. Basically if you rent an industrial space that has the capacity to run heavy duty machinery the municipality will levy a demand charge, basically reserving the extra amps for your site. So even if there's multiple tenants the cost of this feature will be split amongst the units, as all tenants have access to this feature.

Thanks for the response. Yes but that's what gets me. It's an office space with ceiling lights, a router and a laptop. All the other spaces around are similar type setups.

 

[TheMightyQuin]

I have a bit of experience with this, not sure about the legalities. Basically if you rent an industrial space that has the capacity to run heavy duty machinery the municipality will levy a demand charge, basically reserving the extra amps for your site. So even if there's multiple tenants the cost of this feature will be split amongst the units, as all tenants have access to this feature.

Thanks for the response. Yes but that's what gets me. It's an office space with ceiling lights, a router and a laptop. All the other spaces around are similar type setups.

@lowriderza is correct. Here in CT I also pay a Business Connection rate of about R50 per day above and beyond my actual usage. This is also for a standard office building.

 

[lowriderza]

Thanks for the response. Yes but that's what gets me. It's an office space with ceiling lights, a router and a laptop. All the other spaces around are similar type setups.

I get what you're saying, especially if there's only offices on the premises. I'm not sure what the process would be to cancel this feature or the costs involved. Btw does your landlord give a copy of the electricity account to the tenants as well as how costs are calculated? The reason I know about this is I do the calculations and compile them into a little presentation for my client's client's tenants so they can see how it is divided.

 

[WhyME]

Check if charge is being levied by Municipality or 3rd Party Re seller is one invoicing you?, those people can do criminal things. With municipality you can always go and negotiate to be put on correct tariffs.

 

[Former member 61586]

NERSA tarriffs allow for this. Check which tarrif you are on. Compare to the tariff on the NERSA website.