CENTLEC HOUSEHOLD TARIFFS: 2017/2018 versus 2016/2017

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1 CENTLEC HOUSEHOLD TARIFFS: /2018 versus 2016/ (including Tariff amendment of 1 July ). To explain the tariffs between the 1 July to 30 June 2018 (current Centlec Financial Year) in comparison with those of 1 July 2016 to 30 (previous Centlec Financial Year) to indicate the increase/decrease of the tariffs and put them in perspective. 1. NEW HOUSEHOLD TARIFFS: 1 JULY to 30 JUNE 2018 CENTLEC Household tariffs did not undergo structural changes from the previous financial year (2016/) in comparison with the new financial year (/2018). The Household Tariffs are still working according to a two-block system (viz. Block 1 from 1 to 350 kwh and Block 2 more than 350 kwh for a specific month). The DIFFERENCE is that the new % tariff amendment is not the same for Block 1 (1-350 kwh) as for Block 2 (>350 kwh) and that the Winter and Summer tariffs also did not undergo the same % amendment. The two tariff seasons still works on the same principle. Summer months run from 1 September to and Winter months are July, August and the next year June CENTLEC HOUSEHOLD TARIFFS: 2016/ versus /2018 TABLE 1: S 2016/ VERSUS / / TARIFFS /2018 TARIFFS % INCREASE S No VAT With VAT No VAT With VAT UNITS Block 1 (1 350 kwh) R R R R % Block 2 (> 350 kwh) R R R R % TABLE 2: S 2016/ VERSUS / / TARIFFS /2018 TARIFFS % INCREASE S No VAT With VAT No VAT With VAT UNITS Block 1 (1 350 kwh) R R R R % Block 2 (> 350 kwh) R R R R %

2 2. GENERAL INFORMATION AND OBSERVATION BLOCK 1 (1-350 kwh): This tariff was amended by -0.31% for Summer months and % for Winter months. (There is NO logic explanation for this Tariff amendment). Block 2 (>350 kwh): This tariff was amended by 0.19% for Summer months and -0.03% for Winter months. (There is NO logic explanation for this Tariff amendment CENTLEC was gracious to the consumers and mainly announced a new lower tariff. (It makes NO sense why Centlec applied and was granted these Tariff amendments, since it holds no major differences for either the consumer and/or for Centlec). The Summer tariff therefore increased on average with 0.17% (R2.71 per 1,000 kwh/month), while the Winter tariff decreased on average with -0.24% (-R5.01 per 1,000 kwh/month); therefore the consumer will only pay R9.35 more over the financial year ( =3 x -R x R2.71 = -R R24.42 = R9.35). This implies that, with an average usage of 1,000 kwh/month the tariff for Summer months increased only by 0.17% and during Winter months decreased with an average of -0.24% on the average account, calculated on an yearly basis and would therefore only cost R9.35/year more. (See Tariffs above, as well as Table 3 &4). All CENTLEC Household Consumers who consumes more than 350 kwh for a specific month, wil therefore be considered against R1.3752/kWh (previously R1.3794/kWh) therefore -0.31% for Summer months and for more than 350kWh against R1.5877/kWh (previously R1.5846/kWh) therefore +0.19% for Summer months. Opposite to this the tariff will be R2.0628/kWh (previously R2.0634/kWh) during Winter months, therefore % decrease for the first 350kWh and for the rest of the units (more than 350kWh/month) -0.03% during Winter months. (See Tariffs above, as well as Table 3 &4). 3. NUMBER OF UNITS FOR A SPECIFIC RAND VALUE A comparison can be made with the following tables (TABLE 5.1, 5.2, 5.3, 5.4, 5.5 and 5.6) to to see the fixed amount you will pay when you buy electricity (i.e. R50 at a time, R100 at a time, R200 at a time, R250 at a time, R500 at a time and up to R1 000 at a time), how the number of units decline or increase during the various purchased during a specific month, due to tariff increases/decreases, as well as seasonal tariff differences. (Centlec will round off to one decimal).

3 TABLE 3: Real Cost Comparison July/Aug 1 Sep to 31 May 2018 kwh R -- c R -- c R -- c R -- c versus 1 Sept to 31 May 2018 versus 1 Jul to 31 Aug & June R - R - R - R - 50 R68.97 R89.49 R85.01 R % -5.01% 100 R R R R % -2.34% 150 R R R R % -1.53% 200 R R R R % -1.14% 250 R R R R % -0.91% 300 R R R R % -0.76% 350 R R R R % -0.66% 400 R R R R % -0.58% 450 R R R R % -0.51% 500 R R1, R1, R % -0.47% 550 R R1, R1, R % -0.43% 600 R R1, R1, R % -0.39% 650 R1, R1, R1, R1, % -0.36% 700 R1, R1, R1, R1, % -0.34% 750 R1, R1, R1, R1, % -0.32% 800 R1, R1, R1, R1, % -0.30% 850 R1, R1, R1, R1, % -0.28% 900 R1, R1, R1, R1, % -0.27% 950 R1, R1, R1, R1, % -0.26% 1,000 R1, R2, R R1, % -0.24% 1050 R1, R2, R2, R1, % -0.23% 1100 R1, R2, R2, R1, % -0.23% 1150 R1, R2, R2, R1, % -0.22% 1200 R1, R2, R2, R1, % -0.21% 1250 R1, R2, R2, R1, % -0.20% 1300 R2, R2, R2, R2, % -0.19% 1350 R2, R2, R2, R2, % -0.19% 1400 R2, R2, R2, R2, % -0.18% 1450 R2, R2, R2, R2, % -0.18% 1500 R2, R3, R3, R2, % -0.17% 1550 R2, R3, R3, R2, % -0.17% 1600 R2, R3, R3, R2, % -0.16% 1650 R2, R3, R3, R2, % -0.16% 1700 R2, R3, R3, R2, % -0.16% 1750 R2, R3, R3, R2, % -0.15% 1800 R2, R3, R3, R2, % -0.15% 1850 R2, R3, R3, R2, % -0.14% 1900 R3, R3, R3, R3, % -0.14% 1950 R3, R4, R4, R3, % -0.14% 2000 R3, R4, R4, R3, % -0.14%

4 TABLE 4: NUMBER OF UNITS WITH PROGRESSIVE PURCHASES (per Spesific Month) (NEW TARIFF 1 Jul to 31 1 Sep to 31 May 2018 R---c kwh kwh kwh kwh R R R R R R R R R R R R R R R R R R R R R1, R1, R1, R1, R1, R1, R1, R1, , ,054.6 R1, , ,117.6 R1, , ,149.1 R1, , ,180.6 R1, , ,243.6 R2, , , , ,306.5 R2, , , , ,464.0 R2, , , , ,621.5 R3, , , , ,936.4 R3, , , , ,251.3 R4, , , , ,566.2 R4, , , , ,881.2 R5, , , , ,196.1

5 5.1. NUMBER OF R50.00 PER PURCHASE (Spesific Month) (NEW 1 Sep to 1 st R nd R rd R th R th R th R th R th R th R th R th R th R th R th R th R th R th R th R th R th R NUMBER OF R PER PURCHASE (Spesific Month) (NEW 1 Sep to 1 st R nd R rd R th R th R th R th R th R th R th R

6 5.3. NUMBER OF R PER PURCHASE (Spesific Month) (NEW 1 Sep to 1 st R nd R rd R th R th R th R th R th R th R th R NUMBER OF R PER PURCHASE (Spesific Month) (NEW 1 Sep to 1 st R nd R rd R th R th R th R th R th R th R th R

7 5.5. NUMBER OF R PER PURCHASE (Spesific Month) (NEW 1 Sep to 1 st R nd R rd R th R th R th R th R th R th R th R NUMBER OF R1, PER PURCHASE (Spesific Month) (NEW 1 Sep to PURCHASE S R --- c kwh kwh kwh kwh 1 st R 1, nd R 1, rd R 1, th R 1, th R 1, (Compiled by Chris van der Westhuizen - Cell Nr: )

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