R582 monthly solar levy hits South Africans who have disconnected from the grid

Mpumalanga – South African homeowners who have completely disconnected from the electricity grid and rely entirely on solar power could face a new R582.64 monthly levy in the Thaba Chweu Local Municipality, prompting a legal challenge from civil rights organisation AfriForum.

AfriForum has demanded that the municipality and the National Energy Regulator of South Africa (NERSA) explain and rectify the levy, which it describes as “unlawful, irrational and unreasonable”.

According to BusinessTech, citing Nersa, Thaba Chweu Local Municipality has 19,294 electricity customers, with residential customers accounting for 53.63% of the municipality’s electricity sales.

AfriForum says the charge amounts to a levy “for using the sun” and has raised concerns about whether it was introduced through a lawful and transparent public participation process.

The organisation is also questioning whether the tariff is supported by an appropriate cost-of-supply study and whether its approval complied with municipal and electricity legislation.

Properly approved tariffs 

“This matter is about more than disputed charges on municipal accounts. It concerns the fundamental principle that municipalities may levy only lawful, rational and properly approved tariffs,” said Arlo van Heerden, AfriForum’s District Coordinator for the Lowveld.

“Thaba Chweu and NERSA must account for these charges, particularly where residents who are completely disconnected from the electricity grid are expected to pay for a service they do not receive,” he said.

AfriForum said it first approached the municipal manager on 20 July, requesting documents relating to the tariff process, including the cost-of-supply study, public notices, council resolutions and public submissions.

According to the organisation, the municipality has not responded.

Deidré Steffens, AfriForum’s Adviser for Local Government Affairs, said the dispute reflected a broader concern about municipal charges.

Obscure levies

“AfriForum has observed a significant increase in obscure levies and tariffs being imposed by municipalities across the country,” Steffens said.

“This appears to be a new trend among municipalities seeking to charge more money from residents without delivering any corresponding improvement in services.”

“Residents cannot be treated as cash cows who must now make up for years of municipal debt, mismanagement and abuse,” she said.

AfriForum has given Thaba Chweu and NERSA 10 days to provide satisfactory explanations and supporting documentation.

If the parties fail to respond adequately, AfriForum said it intends approaching the High Court for appropriate relief.