ELECTRICITY users who fail to cut down their consumption and save energy could face stiff fines from next year. That is if the draft rules of the Energy Conservation Scheme (ECS) set up by Eskom and the Department of Minerals and Energy see the light of day.

But the proposed penalties have been slammed by Cosatu and analysts.

The intention of the rules is that in 2009 each customer to which the ECS applies will be given a monthly energy allocation (kilowatt per hour) based on the requirement to achieve a certain saving level.

The energy allocation will be evaluated based on the customer’s consumption levels in the period October 2006 to September 2007.

Mining companies will be expected to save 8%, agriculture 8%, industry 10%, commercial companies 20%, residential 20%, and government or state-owned enterprises 25%.

Failure to conform to these savings will result in punitive electricity tariffs in accordance with the ECS rules for that portion of the customer’s electrical energy consumption that is in excess of the laid-down allocation.

The penalties range from R2.80 to R18 per kilowatt hour.

For example, if a commercial customer doesn’t save the required 20%, but simply maintains the electricity consumption (to remain the same as the yardstick period October 2006 to September 2007), the electricity bill will be about 4.6 times higher in the first month, then 6.4 times higher in the second month, and finally 8.2 times higher in the third month — compared to what was paid in that period.

According to the National Energy Regulator, these rules will assist Eskom in managing current electricity supply constraints in the country.

This will also be to ensure that electricity is not wasted in some applications, resulting in other consumers being deprived of electricity.

Fani Zulu, Eskom’s spokesman, said: “It is a necessary measure of last resort because for many years electricity demand has been growing and as a country we didn’t invest to meet the demand.

“So we are in a tight spot and we are only left with two options; either to build more power stations (which takes years to complete) or intervene on the demand side by introducing energy efficient alternatives.”

Should any of these options not be met, load shedding would result.

In another measure to save energy, Zulu said Eskom had given out 19.8-million energy-saving globes this year.

Zwelinzima Vavi, Cosatu general secretary, said the federation supported the call for energy saving and urged consumers to save, especially during the current festive season.

“Capitalists (big business) must save more because they use large amounts of electricity and the saving responsibility should not be left to consumers alone.

“Although we support the saving of electricity, we don’t support the financial penalties on consumers.”

Dawie Roodt, economist at the Efficient Group, said: “Imposing penalties on consumers is a silly and impractical idea.

“To solve this problem they should make electricity more expensive and privatise electricity generation and distribution.” Stakeholders can comment on the draft Power Conservation Programme rules; comments must be in by January 23. They can be handed in at Kulawula House, 526 Vermeulen Street, Arcadia, Pretoria; sent by registered mail to PO Box 40343, Arcadia, Pretoria 007; or e-mailed to This email address is being protected from spambots. You need JavaScript enabled to view it..

Source: Sunday Times