Acknowledging the protest action in Tembisa on July 21, in relation to the introduction of a fixed electricity tariff charge for the 2025/26 financial year, Ekurhuleni mayor Nkosindiphile Xhakaza has resolved to suspend the implementation of the fixed electricity tariff charge of R126, including value-added tax (VAT), with immediate effect across the municipality.

He says this decision is subject to urgent endorsement by the Ekurhuleni metropolitan municipal council and will facilitate further structured public consultations.

The mayor notes that the suspension is aimed at enabling comprehensive, inclusive and orderly engagement with affected communities; ensuring that legitimate concerns raised by residents are systematically and effectively addressed; and mitigating the risk of recurrence of destructive and violent events such as those experienced in Tembisa during 2022.

He says the municipal administration is currently undertaking preparations to implement the suspension on the billing system, thereby ensuring immediate and effective cessation of the fixed charge pending the requisite council approval and subsequent public engagement processes.

BACKGROUND

In accordance with national regulatory requirements and directives from the National Energy Regulator of South Africa (Nersa), the City of Ekurhuleni periodically reviews its electricity tariffs informed by comprehensive cost of supply studies.

Xhakaza says the recent reviewed tariff structure which introduced a fixed tariff charge prescribed by Nersa, was implemented as part of these standard regulatory processes, aimed at ensuring adequate investment in infrastructure maintenance, long-term sustainability of electricity supply and equitable distribution of operational costs across all communities.

He explains that this resulted in the addition of a fixed tariff charge within Category A for lower consumption users, specifically A2 for single phase non-indigent households.

“This administration has consistently ensured that economically vulnerable households remain protected through the administration’s pro-poor policy approach and the city’s indigent support programme, which remains in effect and has recently been enhanced to better serve qualifying residents,” he says in a media statement.

Xhakaza says he is, however, mindful of the events surrounding the violent unrest in Tembisa in 2022, which resulted in severe damage to municipal property, significant financial losses estimated in the millions of rands and, most tragically, the loss of human life.

“While recognising that many community members expressed legitimate grievances at that time, the city also acknowledges with concern that these grievances were overshadowed by acts of criminality and vandalism,” he expresses in the statement.

CALL FOR CALM

The city calls on all residents to remain calm, exercise restraint and participate constructively and peacefully in the forthcoming consultative processes.

The municipality expresses that it remains fully committed to engaging robustly with residents regarding electricity tariffs and broader service delivery concerns; noting, however, that acts of violence, vandalism and criminality cannot and will not be tolerated.

“Such conduct will be met with swift and decisive legal action,” it warns.

It notes that the mayor has consistently emphasised the distinction between genuine community concerns and criminal activities.

“Any attempt by criminal elements to exploit legitimate community protests remains unequivocally condemned and will be met with appropriate enforcement measures.”

SOCIAL RELIEF MEASURES

In alignment with commitments made during the 2025 State of the City Address, the city says it has implemented a comprehensive social support package designed specifically to assist vulnerable and financially distressed residents.

This package includes a revised property value threshold, enabling broader access for vulnerable households to essential social relief and municipal support programmes. This revision ensures that more residents can qualify for relief, contributing directly to poverty alleviation and community well-being.

Additionally, a dedicated debt rehabilitation scheme has been established to assist over-indebted residents experiencing genuine financial hardship. This programme provides qualifying households the opportunity for debt write-off, subject to adherence to specific criteria and regular payment compliance moving forward.

The mayor says the scheme reflects the city’s recognition of economic hardships, exacerbated by unemployment and economic pressures, and demonstrates its proactive stance in providing tangible relief measures.

The package also includes expanded indigent support whereby the qualifying threshold for indigent status has been broadened to explicitly incorporate more households that are economically vulnerable.

“Through this expansion, qualifying indigent residents receive enhanced access to free basic services, rebates, and additional targeted social benefits, ensuring dignity and improved quality of life for those most in need,” says Xhakaza.

As an immediate relief intervention, the city has also implemented a waiver of the R1 500, excluding VAT, service connection charge previously levied on residents affected by cable theft.

This waiver aims to alleviate financial burdens and promote the safe regularisation and restoration of electricity services.

Moreover, the mayor says the city will waive tampering charges for a period of three months; from July 1 to September 30, 2025, for residents only. This is a one-off amnesty period designed to allow residents to regularise their municipal connections without penalty.

“These targeted social interventions underline mayor Xhakaza’s sustained commitment to social justice, equitable service delivery, and meaningful support for our residents, particularly those most impacted by prevailing economic conditions,” the release states.

“Our foremost priority remains the achievement of an equitable, sustainable, and long-term solution that safeguards the interests and welfare of all residents while preserving the financial viability and operational integrity of municipal services.

“The executive mayor reaffirms his commitment to transparent, accountable leadership and the importance of ensuring that every community voice is heard and respected throughout this critical process.”