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ELECTRICITY PRICING TO BE REVIEWED

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MBABANE – A cost relief is on the cards for electricity users in the Kingdom of Eswatini.


This will be necessitated by the issued notice for consultants from suitably qualified service providers to undertake a comprehensive review of a tariff methodology for the Swaziland Electricity Supply Industry on behalf of the Swaziland Energy Regulatory Authority (SERA).  


The main focus is to expand the current methodology used to determine end-user tariffs to include generation and transmission. The tariff methodology will also be aligned to current industry developments which have seen more companies such as Tambuti Estate which recently got granted an exemption by the regulator to generate their own solar power.


Licenced


SERA, whose core function is to regulate and approve tariffs, charges and conditions of services provided by licenced entities, currently uses a tariff methodology developed in 2011 to determine end-user user (distribution) tariffs which were last increased by 15 per cent in February 2017 for the 2017/18 and 2018/19 financial years.


SERA Chief Executive Officer (CEO) Vusi Mkhumane said the developments within the electricity industry had necessitated a review of the current methodology with an aim of expanding it for use in determining generation and transmission tariffs.


“The ultimate objective of the study will be to align the tariff methodology with the latest trends,” said Mkhumane.
The study will be undertaken on behalf of SERA by a consultant, who will be responsible for studying the existing methodology and its accompanying models, spreadsheets and manuals in order to ascertain inbuilt shortcomings.

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