Electricity Regulation Act, 2006 (Act No. 4 of 2006)RulesNet-Billing Rules6. Applicable Tariff Charges for Prosumers |
6.1 | In line with NERSA guidelines, Distributors must undertake a cost of supply study to assist in allocating costs to electricity services. Unbundled, cost-reflective tariffs are needed to develop tariffs that reflect variable cost components (e.g. in relation to the procurement of energy) and fixed components. |
6.2 | After allowing the Prosumer to connect to the distribution power system, the distributor shall set a tariff based on the following elements: |
(i) | Variable charges (c/kWh) |
- | Energy and network charges for imported energy (import tariff) to recover energy costs (costs of energy purchases) and network costs associated with the demand or usage of the network on a time-of-use rate as guided by the NERSA Distribution Tariff Code. |
- | Energy charges for exported energy (export tariff) to credit the Prosumer must be valued at the avoided energy cost of the distributor and on a time-of-use rate. |
(ii) | Fixed charges (R/day or R/kVA – based on Notified Maximum Demand (NMD), as guided by the NERSA Distribution Tariff Code, such as: |
- | network charges to recover network capital, maintenance, returns and fixed operating costs based on NMD; |
- | service and administration charges to recover the retail costs associated with billing, meter reading and Prosumer service associated with the consumption of energy. |
(iii) | Other charges, as guided by the NERSA Distribution Tariff Code, such as: |
- | one-time charges to the Prosumer in the form of connection charges to recover metering and network-related costs; and |
- | charges related to the contribution to subsidies and other levies (could be fixed or variable). |