This is how Eskom's billing works

Hanno Labuschagne

Hanno Labuschagne

Journalist
Staff member
Joined
Sep 2, 2019
Messages
5,703
Reaction score
4,002
This is how Eskom's billing works

Eskom bills include a network and service charge in addition to the cost you pay per unit of electricity.

MyBroadband recently received a complaint from a reader highlighting that when these fees are taken into account, it increases your effective price per unit of electricity substantially.

"What is the network charge for R500 per month? That is a lot of money! And a service charge? Together, that is R668. Nearly R700 per month, before you have even used any electricity," the reader noted.
 
I wish I could pay those prices, number one issue is the lack of control what municipalities can add on. I'm paying R2,54 vat incl. Usage makes no difference. Kwadukuza in KZN.
 
Still crazy as can't ask what phase power you want, no depreciation over time since assets are installed over years, and lots of houses have stuff installed a good 20 years ago.

Here my base price is 20 EUR in top 10 most expensive household energy in Europe, and a flat fee for power at currently R2.27 (current rate when I wrote this is 12.86c/kwh in EUR, fix price with 100% renewable guarantee (wind, water, sun), hydro is a major power source in Austria). Energy prices are currently a bit high as lots of contacts till Jan 2022 with a bit high fix price as they broke up power grid a few years ago, will see how it influences things next year.

I thought power cost would jump compared to South Africa, since all those comparisons per kwh cost, but they miss those base fees and that makes a huge difference (actually let me rephrase, thought I'd be at a similar cost summer and way more costly winter).

But don't worry, Eskom is increasing the prices even more...
 
Don't forget VAT:

“What is the network charge for R500 per month? That is a lot of money! And a service charge? Together, that is R668. Nearly R700 per month, before you have even used any electricity,” the reader noted.
Click to expand...
+VAT = R768.20...

Where's the value?
 
@editors...

If you want a bit more insight in your next one let me know!
 
Seems a bit excessive. I guess it’s one way to mask the true cost of electricity per unit.
 
What was that useless City Power comparison? Don't they also have crazy network charges on post paid aswell?

It's times like this when I don't mind living in dbn, it's just a flat rate and no extra charges.

I can't wait for Eskom to get some competition.
 
wingnut771 said:
What was that useless City Power comparison? Don't they also have crazy network charges on post paid aswell?

It's times like this when I don't mind living in dbn, it's just a flat rate and no extra charges.

I can't wait for Eskom to get some competition.
Click to expand...
It's precisely because of the competition, they will continue to bill for network.
 
ESKOM naais me 6 love every month on the R650 I buy as a bachelor
238 units
Works out to R2.73 per unit

1635623180638.png
 
All BS of course, just an extra way of collecting money with increases on the connection fee each year along with the actual electricity price increases.

These "Transmission" costs were already paid up and some before decades ago. Eskom is basically charging a toll fee on a system that is already paid for, no different to toll gates that still charges fees even though the entire point of a toll gate is to recover the costs of building whatever infrastructure but apparently once it starts it then never ends.

We have been using less electricity month after month over the last 3 years and every single month for some reason the monthly cost remains the same best case scenario or somehow goes up.

Eskom is also completely destroying clients with the usage tiers. I find it absolutely insane that SA actually have come to accept it as reasonable to penalize people who use more of a service. No other industry that I can think of do you pay more when you use more, it is quite the opposite in any sane market.
 
John Tempus said:
All BS of course, just an extra way of collecting money with increases on the connection fee each year along with the actual electricity price increases.

These "Transmission" costs were already paid up and some before decades ago. Eskom is basically charging a toll fee on a system that is already paid for, no different to toll gates that still charges fees even though the entire point of a toll gate is to recover the costs of building whatever infrastructure but apparently once it starts it then never ends.
Click to expand...
100%! Extortion. It's our own fault really, we just bend over and take it.
 
wingnut771 said:
What was that useless City Power comparison? Don't they also have crazy network charges on post paid aswell?

It's times like this when I don't mind living in dbn, it's just a flat rate and no extra charges.

I can't wait for Eskom to get some competition.
Click to expand...
From what it seems, the specific bill uses CoJ wording and rates (see top of page 14):
1635633348698.png

and is very different from what an Eskom bill would use (source (2020/21):
1635634122786.png
where
Homepower 1 = dual-phase 32 kVA (80 A per phase) or three-phase 25 kVA (40 A per phase)
Homepower 2 = dual-phase 64 kVA (150 A per phase) or three-phase 50 kVA (80 A per phase)
Homepower 3 = dual-phase 100 kVA (225 A per phase) or three-phase 100 kVA (150 A per phase)
Homepower 4 = single-phase 16 kVA (80 A per phase)

I can only conclude that it is in fact a CoJ bill and not an Eskom bill (unless there is some legislation or something that forces Eskom to use the CoJ structure and rates??).
 
G.A.S said:
From what it seems, the specific bill uses CoJ wording and rates (see top of page 14):
View attachment 1178686

and is very different from what an Eskom bill would use (source (2020/21):
View attachment 1178688
where
Homepower 1 = dual-phase 32 kVA (80 A per phase) or three-phase 25 kVA (40 A per phase)
Homepower 2 = dual-phase 64 kVA (150 A per phase) or three-phase 50 kVA (80 A per phase)
Homepower 3 = dual-phase 100 kVA (225 A per phase) or three-phase 100 kVA (150 A per phase)
Homepower 4 = single-phase 16 kVA (80 A per phase)

I can only conclude that it is in fact a CoJ bill and not an Eskom bill (unless there is some legislation or something that forces Eskom to use the CoJ structure and rates??).
Click to expand...
My point was mybb show rates and network charges for eskom but only rates for City power and neglect to show this:
1635638606163.png
 
This is such a money making thing. First COJ added a sewerage charge (just because you can flush). Tswhane did the same as in a “water charge”!

Its becoming funny I am telling you!
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter