Ricochet News

Nelson Mandela Bay Electricity Losses Put At R33.9 Million In July

SEPTEMBER 15, 2014
Nelson Mandela Bay Electricity Losses Put At R33.9 Million In July

The Nelson Mandela Bay Municipality suffered technical and non-technical electricity losses of R33.9 million in July, according to a report to be submitted to the Budget and Treasury Committee tomorrow.

The losses in units that were not charged for amounted to 44 642 or 15%.

Technical losses are assumed to be 6% and include electricity line losses that are “unavoidable”, streetlights, high mast lights and traffic signals.

Non-technical losses include theft by way of illegal connections and tampering, for example, and the Rand value in July for these losses was R22.03 million.

The Electricity and Energy Directorate has now appointed a service provider to assist with the reduction of the losses, the goal being to achieve a minimum reduction of R50 million in bulk purchases during 2014/15.

The report notes that losses as a percentage of sales have increased over the past few years from 7% to 15%, adding that the non-technical losses have shown the biggest increase as a result of theft.

Figures with the report show that in the last financial year, the municipality experienced electricity losses totalling R248.2 million.

The Rand value of the technical losses in the 2013/14 financial year was R115.7 million and of the non-technical losses R132.5 million.