New Eskom pricing could crush solar in South Africa

[Jamie McKane]

New Eskom pricing could crush solar in South Africa

Eskom is considering a new pricing structure which will have a material impact on the value proposition of solar installations.

Eskom generates revenue from two sources: fixed connection charges and electricity tariffs which vary based on usage.

 

[Sinbad]

Eskom is now proposing a change to this pricing structure – it wants to significantly increase the fixed connection charge and reduce electricity usage charges.

This change, Eskom explains, will reduce the financial risk to the company and help it recover its fixed costs.

Eskom explains
Eskom explained that connection charges contribute towards the initial capital cost to connect a customer to the existing Eskom network.



Vokofekskom

 

[BBSA]

The solution is to go off-grid.

 

[supersunbird]

The solution is to go off-grid.

I'm sure they will still want to charge the connection fee.

 

[Enzo Matrix]

What they will ACTUALLY do is increase prices across the board

 

[bwana]

All they're going to achieve is pushing people completely off the grid.

 

[The_Librarian]

*shakes head*

 

[Thor]

Rediculous

 

[R4ziel]

They are going to crush solar companies for sure, under the sheer volume of orders and installations that people will want!

 

[Jopie Fourie]

No matter how they want to manipulate their pricing, we only earn so much and can only afford so much. At the end of the day, getting off the grid in total, and not paying Eskom a single cent may be the better solution.

 

[ToxicBunny]

This will hardly crush solar... A move like this will likely accelerate full off grid solutions.

 

[ToxicBunny]

I'm sure they will still want to charge the connection fee.

They can obviously try... But it will end up in a court very shortly after them trying and they will likely lose that case.

 

[ProAsm]

We already have this in PMBurg.
We pay R500 a month connection fee even if you switch off your electricity, you still pay.
Everytime electricity goes up, this connection fee goes up by the same percentage.
It sucks!

 

[Scooby_Doo]

We already have this in PMBurg.
We pay R500 a month connection fee even if you switch off your electricity, you still pay.
Everytime electricity goes up, this connection fee goes up by the same percentage.
It sucks!

Thats bull, I don't even use R500 of electricity

 

[ToxicBunny]

We already have this in PMBurg.
We pay R500 a month connection fee even if you switch off your electricity, you still pay.
Everytime electricity goes up, this connection fee goes up by the same percentage.
It sucks!

Get enough of you together who are off grid and no longer use the basic service to threaten legal action... I'd be surprised if they let it even get to a court case before removing the fee from your account.

 

[Fuzzbox]

Unbelievable.
You tell us to use less and then try and find a NEW way to SCREW US.

 

[Skyfie]

Try having the following with city of Joburg :
Network charge ‐ R561.27
Service charge - R139.09
Network service kWh R 21.96
Both are ex vat as well, so a grand total of R837.56 incl. vat just to have the pleasure of electricity BEFORE any usage

 

[Swa]

LOL. Are these clowns unable to grasp that the more expensive they make it the more it makes sense to go off grid? I can even see cases where two houses have solar so they scare a connection for backup. The way to get more people to use your product is to charge less.

 

[Zoomzoom]

Try having the following with city of Joburg :
Network charge ‐ R561.27
Service charge - R139.09
Network service kWh R 21.96
Both are ex vat as well, so a grand total of R837.56 incl. vat just to have the pleasure of electricity BEFORE any usage

Uh yes some of that is Eskom but most of it is the DA taking their slice first.

 

[maumau]

It'll be added to prepaid users as well no doubt, so they are upping their guaranteed monthly income.

Too stupid to grasp people go prepaid because they have to control their spend.

We'll have to go illegal