AfriForum Challenges Mogale City's Electricity Tariffs in Court

In a defining lawsuit, AfriForum has taken a bold stand against Mogale City Local Municipality by filing an urgent application at the Gauteng High Court in Pretoria, challenging the newly implemented electricity tariffs for the 2024/2025 fiscal year. This legal action comes in response to the introduction of Inclining Block Tariffs (IBTs) which, according to the advocacy group, were carried out without proper public knowledge and far exceed reasonable increments.

Under the previous system, Mogale City had a flat-rate tariff, which maintained steady fees regardless of consumption volume. However, the switch to IBTs, which was not disclosed during public engagements, notably the municipality's Integrated Development Plan (IDP) roadshows, introduces variable rates that escalate with increased usage. Originally, the municipality announced only a 12.7% increase but left out that under the new structure, the rates could surge close to 30% for higher consumption brackets.

This lawsuit underscores a significant contention point – the allegation of a serious breach in procedural transparency. AfriForum, bolstered by collaboration from the local advocacy group Krugersdorp Citizens Unite, claims that this transition breaches both regulatory and ethical obligations, given the insufficient effort made by the municipality to involve or inform the public adequately.

The crux of AfriForum's legal challenge is to seek judicial intervention to retract these tariffs that supposedly infringe upon statutory and community rights. The residents and business owners of Mogale City, as represented by AfriForum and its allies, have experienced what they describe as "excessive charges” that place undue economic strain on their daily lives following the implementation.

The case, poised for a hearing on January 28, 2025, could set a precedent regarding local government's accountability in South Africa. Morné Mostert, AfriForum’s Manager for Local Government Affairs, asserts that the imposition of these tariffs is not only unlawful but morally indefensible, emphasizing a broader commitment to safeguard community interests from negligent municipal governance.

As the legal proceedings unfold, the response from Mogale City's council, including the executive mayor, remains to be submitted by mid-January 2025. The outcome of this case could potentially recalibrate municipal standards for public communication and legal adherence in setting utility tariffs across the nation, signaling a critical watchpoint for other municipalities with similar policies.