Case study · Beverages

R60,000 a month back from one tariff change at Continental Beverages.

PepsiCo's Continental Beverages site in Bloemfontein stopped production and was rezoned from Industrial to Business, but stayed on Centlec's demand-based TOU Elecflex 3 tariff. Augos analysed its refrigeration-led load and moved it to Centlec's Commflex business time-of-use tariff, which has no demand or network access charges. Centlec confirmed the change in October 2025, and the saving of about R60,000 a month shows on invoices from July 2025.

~R60k
Saved every month, on invoices
~R720k
Saved a year
Jul 2025
Saving on invoices from
Elecflex 3 → Commflex
Centlec tariff change
ClientContinental Beverages (PepsiCo)
IndustryBeverages
LocationBloemfontein, Free State
ServicesTariff optimisation
Published
The short version

PepsiCo's Continental Beverages site in Bloemfontein moved from Centlec's demand-based TOU Elecflex 3 tariff to its Commflex business time-of-use tariff after production stopped and the property was rezoned. Augos ran the analysis and managed the application. The change saves about R60,000 a month, roughly R720,000 a year, with no new equipment and no change to how the site runs.

A business can change almost everything about how it operates and still be billed as though nothing happened. The tariff is set once, often years earlier, and it rarely moves unless someone asks.

Could a closed factory still be on the wrong tariff?

Very likely. Utilities and municipalities do not move a site to a cheaper tariff when its use changes; the customer has to apply.

The Continental Beverages site was a production plant, on a tariff built for one: TOU Elecflex 3, a demand-based time-of-use tariff for large users, with lower energy rates and separate charges for the capacity they draw. Then production stopped and the property was rezoned from Industrial to Business. The site still used electricity, mostly to keep refrigeration running, but its load looked nothing like a factory's. The tariff stayed exactly where it was.

Why did the old tariff cost so much?

Because most of it billed capacity, not energy. On Centlec's 2026/27 rates in the Augos tariff database, TOU Elecflex 3 carries three charges that do not depend on how many kilowatt-hours a site uses:

A plant spreads those charges across a large volume. A cold room cannot. The site was effectively paying industrial overheads to run a cold room.

Is time-of-use cheaper than a flat business tariff for 24-hour refrigeration?

On Centlec's tariffs, yes. Peak covers 25 of the 168 hours in a week, and off-peak covers 81. A load that runs all week therefore averages about R4.33/kWh on Commflex against R4.74/kWh on Centlec's flat business tariff in the high-demand season, and about R2.99 against R4.54 in the low-demand season.

That is an Augos calculation from the 2026/27 rates, on energy charges only, excluding public holidays. It is not a general rule. Other utilities set different peak hours, and a load that peaks in the evening changes the answer. Model it on measured data before switching.

Commflex also carries no demand or network access charge, only a R955 monthly service charge. That is where most of the saving came from.

Does rezoning change your electricity tariff?

Not by itself. The customer still has to apply, and the utility decides on eligibility. Here, the move from Industrial to Business zoning made Centlec's business tariffs an option, and the supply was reduced to suit the smaller load.

What Augos did

Augos analysed the site's consumption and load profile against every Centlec tariff open to a Business-zoned property. It recommended Commflex over the flat business tariff because the refrigeration load runs around the clock, and it managed the application with Centlec. Centlec confirmed the change in October 2025, and the saving was applied to invoices from July 2025.

The result: roughly R60,000 a month

The change saves about R60,000 a month on the site's invoices, or around R720,000 a year. The saving comes from removing the demand and network access charges and from a smaller service charge: R955 a month against R3,418, on 2026/27 rates. Energy costs more per kWh on Commflex than on Elecflex 3: low-season off-peak is R2.56 against R1.90, for example. The charges it removes are worth far more.

There was no new equipment and no change to operations. The one physical change was a smaller supply, sized to the refrigeration load. The saving came from matching the tariff, and the supply, to the business as it is today.

When should a business review its tariff?

Whenever the way it uses electricity changes. Typical triggers:

How do you check you're on the right tariff?

Price the site's measured interval data under every tariff it qualifies for, month by month across a full year, including energy, demand, network and fixed charges. That is what Augos tariff comparison does, against every Eskom and municipal tariff in the Augos tariff database. It also checks whether the supply and notified maximum demand still fit. Where capacity charges are set by the NMD, an oversized one keeps billing for capacity the site no longer uses.

The bottom line

The Continental Beverages site didn't need to use less electricity to save money. It needed a tariff, and a supply, that fitted what it had become. If your operation has changed in the last few years and your tariff hasn't, it is worth asking whether you're still on the right one.

Tariff analysis and bill verification are core to what Augos does. See how tariff optimisation works, or read how electricity tariffs work. To review your own sites, book a demo or call 087 093 6174.

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Common questions

Could a closed factory still be on the wrong electricity tariff?

Very likely. Utilities and municipalities do not move a site to a cheaper tariff when its use changes; the customer has to apply. PepsiCo's Continental Beverages site in Bloemfontein was still on Centlec's demand-based Elecflex 3 tariff after production stopped, paying demand and network access charges for capacity it no longer used.

Is a time-of-use tariff cheaper than a flat business tariff for a 24-hour refrigeration load?

On Centlec's 2026/27 tariffs, yes. Peak covers 25 of the 168 hours in a week and off-peak 81, so a load that runs all week averages about R4.33/kWh on Commflex against R4.74/kWh on the flat business tariff in the high-demand season, and about R2.99 against R4.54 in the low-demand season. That is an Augos calculation on energy charges only. Other utilities set different peak hours, so model it on measured data.

Does rezoning a property from industrial to business change its electricity tariff?

Not by itself. The customer still has to apply to the utility, which decides on eligibility. At Continental Beverages in Bloemfontein, the move from Industrial to Business zoning made Centlec's business tariffs an option, the supply was reduced to suit the smaller load, and Augos managed the application.

How can a business reduce demand and network access charges?

If the site's load has fallen, check whether a tariff without those charges is available and whether the supply and notified maximum demand still fit. On Centlec's 2026/27 tariffs, TOU Elecflex 1 to 3 carry a demand charge of R275 to R320/kVA and a network access charge of R99 to R114/kVA; Commflex carries neither.

When should a business review its electricity tariff?

Whenever the way it uses electricity changes. That includes closing or downsizing a plant, rezoning or leasing out part of a property, changing shifts, installing solar PV, batteries or a generator, adding or removing large loads, and efficiency projects that cut peak demand.

How do you check whether a business is on the right electricity tariff?

Price the site's measured interval data under every tariff it qualifies for, month by month across a full year, including energy, demand, network and fixed charges. Augos tariff comparison does this against every Eskom and municipal tariff in the Augos tariff database, and Augos can manage the application with the utility for a fixed fee.

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