How to change your municipal electricity tariff

To change a municipal electricity tariff, the account holder applies in writing to the municipality's electricity department, naming the tariff it wants and when it should start. The municipality may then need to reprogramme or replace the meter, adjust the consumer deposit or guarantee, and switch the tariff from the first day of a billing month. Most municipalities set a minimum period on the new tariff. Plan for the costs, plan for the wait, and check the first bills on the new tariff closely.

When should a business change its electricity tariff?

A business should consider a tariff change whenever the site changes: production stops or starts, load grows or shrinks, shifts change, or the tariff itself is revised. A tariff that was right when the site was set up can be wrong a few years later.

The change does not happen on its own. Rezoning or a change of use does not move a site's tariff: the customer must apply. Augos reviews sites against every tariff they qualify for, using measured interval data and a South African electricity tariff database it has maintained for 18 years.

What are the steps to change a municipal tariff?

The process differs between municipalities, but the steps Augos sees are broadly the same:

1. Analysis. Price the site's measured consumption on the current tariff and every tariff it qualifies for.
2. Application. The account holder writes to the electricity department asking for the new tariff, typically "from the next billing cycle", and can name Augos as its appointed representative.
3. Cost estimate. The municipality states what the change needs: meter reprogramming or replacement, construction costs and any deposit or guarantee adjustment.
4. Acceptance and payment. The client accepts the terms, pays the costs and provides any increased deposit or guarantee. Landlord consent may be needed if the client rents the property.
5. Implementation. The meter is changed or reprogrammed and the tariff is switched, usually on the 1st of a month.
6. First bills. Check the first bills on the new tariff line by line, especially for estimated readings.

What does a tariff change cost?

The direct cost of meter work can be small. The larger cost is often the deposit or guarantee. At Langeberg, a move to a time-of-use tariff came with a construction cost of R1,946.23 to reprogramme the meter, and the consumer deposit was recalculated as basic cost plus the highest consumption of the last 12 months plus 25%. For that site the security rose more than tenfold, provided by bank guarantee. Budget for this before you apply.

How long does a tariff change take?

It varies widely. Langeberg changes tariffs on the 1st of a month; a request made in September 2024 led to time-of-use billing from the February 2025 period. At Centlec, an application made in December 2024 took effect on 1 August 2025. In Ekurhuleni, a change recommended in a May 2025 report took effect on 1 July 2025. Allow for months rather than weeks, and keep following up.

Is a time-of-use tariff right for my site?

A time-of-use tariff suits a site that can keep load out of peak hours, especially in winter. A site that cannot move load may save in summer and lose more in winter. Both cases below were projected by Augos with summer savings and winter costs, and the net result depended on the balance. The answer comes from measured interval data, not from the tariff name.

Real cases

Montagu Foods (Libstar), Langeberg. The Barlinka site moved from Langeberg's Large Power User 11 kV tariff to Large Power User 11 kV time-of-use, with its NMD of 500 kVA unchanged. The client requested the change in September 2024, and Langeberg's cost estimate of 18 October 2024 set out the meter reprogramming, the R1,946.23 construction cost and the guarantee increase. Langeberg's terms: changes on the 1st of a month, a minimum of 12 months on the new tariff, 3 months' mutual notice, and landlord consent. Time-of-use billing started from the February 2025 period, and the early bills were corrected for estimated readings. Augos projected R515,335 a year (a summer saving and a winter cost). That is a projection, not a realised saving.

Much Asphalt (Msunduzi). Augos recommended a move from Scale C (Large Power User) to Scale T2 (TOU Large Customer 400 V), projecting R235,935 a year with summer savings and winter costs. The client deferred the change. Time-of-use only pays where the site can keep load out of peak.

Much Asphalt (Ekurhuleni). The site moved from Tariff C to Tariff E, Ekurhuleni's time-of-use tariff, from 1 July 2025. Read the Much Asphalt case study.

Continental Beverages, Bloemfontein (Centlec). After production stopped, the site moved from TOU Elecflex 3 to Commflex. Read the Continental Beverages case study.

What to check before you apply

• Your current tariff, supply capacity and NMD as shown on the bill.
• At least 12 months of measured interval data, priced on every tariff you qualify for.
• Winter and summer results separately for any time-of-use option.
• Whether you can keep load out of peak hours, especially in winter.
• The municipality's minimum period on the new tariff and its notice terms.
• Meter work, construction costs and the likely deposit or guarantee increase.
• Landlord consent if you rent the property.
• Who will check the first bills for estimated readings and wrong charges.

For background on the charges themselves, see how electricity tariffs work. Augos manages tariff and NMD applications with the utility on the client's behalf, as the client's appointed representative, through tariff optimisation, and checks the bills that follow through bill verification.

To find out whether a tariff change would suit your site, book a demo or call Augos on 087 093 6174.