Ba Phalaborwa Municipality The Home of Marula and Wildlife Tourism - - PowerPoint PPT Presentation

Ba‐Phalaborwa Municipality “The Home of Marula and Wildlife Tourism”

Public hearing on electricity tariff increase

ELECTRICITY PROJECTS

• Upgrading of electricity infrastructure from single to 3

phase, phase 2,3 and 4 in Phalaborwa R4,000,000.00

• ∙ Refurbishment of substations in Phalaborwa

R2,200,000.00

• ∙ Electrical Infrastructure Reticulation for the new sites in

Gravelotte R1,300,000

• ∙ Installation of ring main units Phalaborwa

R2,800,000.00

• Installation of Streetlights Hendrick van Eck

R3,000,000.00 (Unfunded)

BUDGET

• Revenue Collection

R62,308,000.00

• Bulk purchase

R53,175,000

Tariff increase

• 2009/10 KWH Charge ( Conventional)

R0,731

• 2010/11 @ 28% increase

R0,9357

• 2009/10 KWH Charge (Pre‐Paid)

R0,715 2010/11 @28% increase R0,9152

NERSA compliance report Jan 2008

• No ring fencing of Electricity Services

Separate electricity distribution affairs from

• ther affairs by 2010/11
• Breach of asset management practices:

No maintenance plan, No asset register and asset management policy. Establish asset management policy and plan

Compliance Report Continues

• No master plan for strategic planning

Develop master plan By 2010

• Network assessment – non compliance of

substations: batteries, rusted fence and corroded signs; un‐serviced fire extinguishers, vegetation control Implement the requirements of NRS on maintenance of substations and conduct preventative maintenance

Compliance Report Continues

• Two outgoing lines from intake’s poles need

replacement Implement the requirements of NRS on maintenance of overhead lines and conduct preventative maintenance

Public Participation

• Tariff increase of 40% were public participated

with no objections.

• 28% increment was revised after consultation

with NERSA

Conclusion

• For the Municipality to comply to NERSA

supply requirements by maintaining the infrastructure and ring fencing of electricity assets, an increase of 28% is recommended.

• Reliable electricity services will be in line with

the Municipality’s Vision of “Best Tourist Destination in Limpopo by 2020”

THE END THANK YOU