As a prepaid electricity meter user in South Africa, it is important for you to know the cost per unit of electricity in the country to enable you to manage your energy expenditure efficiently.
In South Africa, the cost of electricity per unit is not fixed; it is determined using the inclining block tariff (IBT) system. This system is built such that the more energy you consume on a monthly basis, the higher the amount you will pay for each unit of electricity. The model is also designed to encourage electricity users to conserve electricity. Apart from that, there is also a special electricity rebate program for indigent citizens and residents facing financial challenges, where they pay less for each electricity unit they consume.
So, if you really want to know the exact cost of electricity units in South Africa, then this article on Prepaid Electricity Meter Cost per Unit in South Africa will be of the utmost help for you. Carefully go through it to get the information you desire.
Read also: ESKOM cost per kWh 2024
What is a unit of electricity?
A unit of electricity is usually equivalent to one kilowatt-hour (kWh). This means that if you have an appliance or device that uses 1,000 watts (1 kilowatt) and you use it for one hour, it will consume 1 kWh, or one unit of electricity. Now that you understand the meaning of the electricity unit, let’s proceed with the discussion.
In South Africa, electricity is generally charged on a sliding scale. This means that the cost per unit of electricity normally increases as you use more electricity monthly. This sliding scale is known as the inclining block tariff (IBT) system.
The inclining block tariff (IBT) in South Africa is primarily designed to encourage electricity consumers to conserve and use energy efficiently. For instance, if you remain in the first block during your electricity usage, you’ll be charged less, but if you consume more electricity and move to the second or third block, you are going to be charged a higher rate.
Factors that Determine Cost Per Unit Electricity in South Africa
As we noted above, the electricity cost per unit in South Africa is not fixed; it is based on the inclining block tariff (IBT). Additionally, there are other factors that also play important roles in determining the cost per unit of electricity in South Africa. They are:
1. Monthly Electricity Usage
One of the primary determinants of electricity cost per unit in South Africa is the monthly energy consumption rate. As an electricity consumer, if your monthly energy consumption is below 350 units, you are going to be in block 1 and pay less for your energy usage. However, if your monthly energy usage is above 350 units, you are going to be moved to another block; hence, you’ll pay more for each unit of electricity you consume.
2. Property Value
The value of your property also helps in determining the amount of money that electricity consumers will pay for each unit of electricity they consume in South Africa. If your property is expensive, you are going to pay more for each electricity unit. However, indigent residents of the country who live in less expensive properties pay less for electricity units.
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3. Government Rebates and Free Basic Electricity
Government incentives for residents facing financial challenges also affect the cost of electricity per unit for some electricity consumers in South Africa. As you may have known, there are ESP rebates and free basic electricity for citizens having financial problems. So, if you are an electricity consumer who is facing financial difficulties and receives rebates from the government, you are definitely going to pay less for each unit of electricity you consume.
Prepaid Electricity Meter Cost per Unit in South Africa
The prepaid electricity meter cost per unit in South Africa is not fixed; it is based on the inclining block tariff (IBT) system. This means that the more electricity you consume monthly, the higher the cost per unit, and vice versa. It is detailed below:
- 0–350 units (Block 1) = R2.2162/kWh (without VAT)
- 351–500 units (Block 2) = R2.7110/kWh (without VAT)
- Above 500 units (Block 3) = R3.2261/kWh (without VAT)
From the analysis above, you can see that if you consume 0–350 units of electricity monthly, you will be charged R2.2162/kWh for each unit, but if your monthly electricity usage is between 351–500 units, you will pay R2.7110/kWh. However, if you consume more than 500 units of electricity monthly, you are going to pay R3.2261/kWh for each electricity unit.
N/B:
The cost per unit of electricity mentioned above doesn’t include value-added tax (VAT). This means that after adding the VAT, the number of electricity units that you’re going to get for a specific amount of money may be lower. Please be guided!
How Many Units of Electricity for R300?
The units of electricity you can buy with R300 are 135.37 units. However, VAT is not included. This is to say that the units may definitely be smaller when VAT is added.
Mathematically, R300 / R2.2162/kWh = 135.37 units.
How Many Units is R200 Electricity in South Africa?
The units of electricity that R200 can buy in South Africa, excluding VAT, are 90.24 units. The number of units may likely decrease after adding VAT.
Calculatively, R200 / R2.2162/kWh = 90.24 units.
How Many Units of Electricity for R100 in 2024?
R100 can buy 45.12 units of electricity in South Africa. However, after adding VAT, the number of units is definitely going to decrease.
Ilustratively, R100 / R2.2162/kWh = 45.12 units.
How Many Units of Electricity for R400?
With R400 in South Africa, you can buy 147.55 units of electricity, excluding VAT.
Calculatively, R400 / R2.7110/kWh = 147.55 units
How Many Units of Electricity for R1000?
R1000 can buy 309.97 units of electricity, excluding VAT. If VAT is added, the units will decrease.
Illustratively, R1000 / R3.2261/kWh = 309.97 units.
How Many Units of Electricity for R500?
The number of electricity units that R500 can buy in South Africa, excluding VAT, is 184.43 units.
Mathematically, R500 / R2.7110/kWh = 184.43 units.
How Many Units is R30 Electricity?
With R30, the number of electricity units that you can buy, excluding VAT, is 13.54 units.
Illustratively, R30 / 2.2162 kWh = 13.54 units.
How Much is 1 unit of Electricity in South Africa?
The cost of 1 unit of electricity in South Africa is not fixed; it varies depending on the amount of electricity you consume monthly. The cost of 1 unit of electricity in South Africa is grouped below:
- For monthly electricity usage below 350 units (Block 1), the cost of 1 unit of electricity is R2.2162/kWh (without VAT)
- For monthly energy usage between 351–500 units (Block 2), the cost of 1 unit of electricity is R2.7110/kWh (without VAT)
- For monthly energy consumption above 500 units (Block 3), the cost per unit of electricity is R3.2261/kWh (without VAT)
Conclusion
The cost of electricity per unit in South Africa is not fixed; it is based on the inclining block tariff (IBT) system, which is a sliding scale where the cost per unit of electricity increases as users consume more electricity monthly.
In South Africa, electricity is generally charged on a sliding scale. This means that the cost per unit of electricity normally increases as you use more electricity monthly. This sliding scale is known as the inclining block tariff (IBT) system. So, the more electricity you consume monthly, the higher your cost per unit of electricity.
