Expecting More Electricity Tariff Hikes

When we had our solar installed in December last year I never for once thought I would some how be targeted by the electricity supplier for doing so. Weekly there are reports all pointing towards a higher penalty tariff for those that have helped reduce their reliance on the grid and for doing that we are now being singled out.

For myself I do not see this as a problem as this is now a quick fix leaving the grid entirely with another small investment. The houses and businesses that installed smaller solar kits are the ones who are caught in no mans land. These solar kits were never intended to leave the grid, but to rather counter act the load shedding periods when there was no power. This in many ways was no different from those using generators except the investment was slightly larger and was a once off not having to purchase diesel to run the generators.

Good to see I have more room to accommodate more panels which will hopefully be done next month. I would like this done before there is a peak in demand which will be expected in January before the March deadline.

The back story to all of this is Eskom are trying to claw back R40 billion in payments they believed are owed to them. This is why they tried to push through a 36% tariff increase earlier this year only to be told 12% was the accepted increase by the National Electricity Regulator.

The problem is a recent court case has sided with Eskom stating that they are owed this R40 billion and the regulator cannot prevent Eskom from adjusting and increasing certain tariffs. The 12% price increase is misleading as the pay as you go meters are more like a 25-30% increase. The various City Councils billing their citizens has gone along with a higher electricity tariff in order to increase their own revenues.

Worryingly knowing Eskom are looking to find the R40 billion they believe is owed to them they are coming after the businesses and houses that pay their bills. Maybe we will see an increase closer to 36% with all their add on tariffs.

Just because you invested in solar does not mean you are wealthy as I know many houses who took financing to cover the installation and they cannot afford to pay the financing along with an increased electricity bill. Many paid a similar amount that I have invested yet they have a system roughly 33% in size. They never did their homework and are now quite literally screwed.

The good news is we have until March next year and after looking at these photographs I have the room for another 12 solar panels and 2 more batteries. This should see us off the grid or very close to this especially once the stove is on gas. If we need an extra battery after this then we will just have to do what is required because paying extra tariffs because I went solar is not something I am going to pay. This is not a wasted investment as the new home owners when I decide to sell will only be too happy knowing they are independent from the grid. This will be worth around an extra $20K because all in this will be a R300K investment. This is what a 4 bedroom home requires to be self sufficient.

Posted Using INLEO