DETERMINATION OF PROPERTY RATES AND REBATES FOR 2014/15 AS AMENDED IN ACCORDANCE WITH THE REGULATIONS

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CITY OF JOHANNESBUG 2014/15 APPOVED TAIFFS ANNEXUE 1 DETEMINATION OF POPETY ATES AND EBATES FO 2014/15 AS AMENDED IN ACCODANCE WITH THE EGULATIONS That in terms of Sections 2, 7, 8 and 14 of the Local Government : Municipal Property ates Act 6 of 2004 ("the Act"), read with Sections 4(1)(c)(ii) and 11(3)(i) of the Local Government : Municipal Systems Act 32 of 2000 ( the Systems Act ) and Section 24(2)(c)(i) of the Local Government : Municipal Financial Management Act 56 of 2003 ( the MFMA ), the Council of City of Johannesburg Metropolitan Municipality hereby declares its intention that the following draft rates in the and are to be levied for the financial year 1 July 2014 to 30 June 2015, on the market value of property or on the market value of a right in land within the area of jurisdiction of the Council as appearing in the valuation roll, in respect of the various categories of properties set out below: No Category Proposed rates for 2014/2015 (Cents in the and) 1 Agricultural esidential 0.005545 2 Agricultural Business 0.017252 3 Agricultural other 0.005545 4 esidential 0.006161 5 Consent use 0.012322 6 Business and Commercial 0.017252 7 Sectional title business 0.017252 8 Sectional title residential 0.006161 9 Sectional title other 0.006161 10 Municipal property 0 11 Farming 0.001540 12 Mining land 0.017252 13 Vacant land 0.026464 14 PSI 0.001540 15 PSI privately owned 0.001540 1

16 Private open spaces 0.001540 17 State 0.009242 18 Public benefit 0.001540 19 Education 0.001540 20 eligious 0 21 Multipurpose esidential 0.006161 22 Multipurpose Business 0.017252 23 Illegal use 0.024645 2 That the rates so levied in terms of Paragraph 1 above shall become due and payable in twelve equal instalments on fixed days for twelve consecutive months, these being the due date stipulated in the account sent to the ratepayer. 3 That in terms of Paragraph 16(3)(b) of the Council s Property ates Policy interest be charged on rates not paid on or before the fixed days, at the rate determined by the Council from time to time. 4 That in terms of Section 15(1)(b) of the Property ates Act read with Sections 9 and 10 of the Council s Property ates Policy, the Council grants, subject to paragraph. 5 That the following rates which are proposed to be levied for the financial year 2014/2015 to any owner of rateable property in the following circumstances: (1) esidential property owned and occupied by natural persons who have limited income and who are not pensioners and the value of their property does not exceed 450 000 but can show that his or her annual income falls below the limit determined by Council from time to time in terms of the Expanded Social Package: dependent on points rating. (2) esidential property owned and occupied by natural persons who are dependent on a State pension grant in terms of the Social Assistance Act 59 of 1992 as their sole source of income: 100% (3) esidential property owned and occupied by pensioners who are not persons contemplated in Paragraph (2), if the total income of the household does not exceed the maximum of 7406 per month over the previous income tax year: 100% (4) esidential property owned and occupied by pensioner who is seventy years and above whose value of the property does not exceed 2 000 000 would be exempted from paying rates.100% (5) esidential property owned and occupied by pensioners who are not persons contemplated in Paragraph (2), if the total income of the household does exceed the average of 7 406 per month 100% rebate, over the previous income tax 2

year but does not exceed the maximum of 12 696 per month over the previous income tax year: 50% rebate: Provided that the rebate contemplated in Subparagraphs 5(1) to (3) above shall only be granted where: (a) (b) (c) (d) the market value of the property as recorded in the prevailing valuation roll does not exceed 2 000 000 and in the case of a pensioner, such pensioner has attained the age of 60 years or older; and in the case of dual ownership at least one of the owners has attained the age of 60 years or older; and The property owner personally occupies the property. A property owner who is a pensioner and is seventy years and above who live in a property not more than 2,000 000 qualifies for 100% rebate. A pensioner rebate will be applied to one property per pensioner or pensioner and spouse only. (6) esidential properties which are occupied by Child headed family. (7) esidential properties owned by people who are pensioners because of disability 100% rebate: Provided that the rebate contemplated in Subparagraphs 6 and 7 above shall only be granted where: (a) (b) the market value of the property as recorded in the prevailing valuation roll does not exceed 2 000 000 and in the case of a child headed home the City s Social workers would be involved in the identification of the family and check that the family complies to all the requirement as set out in the ates Policy, In case of residential property owner who is a pensioner because of disability must meet all requirements set out in the ates Policy (c) That both the property owner as contemplated in subparagraph 6 and 7 owner personally occupies the property. (c) A rebate will be applied to one property as contemplated in sub-paragraph 6 and 7 only. (8) Properties owned by organisations that are registered in terms of the Housing Development Schemes for etired Persons Act: 50%. (a) Property owned by pensioners in terms of the Housing development Scheme for etired Persons who are sectionalized and registered in their name would be treated as per Paragraph (2) to (4). (9) Property owned by private sports clubs that are used primarily for sports purposes: 40%. (10) Property declared as heritage sites in terms of Section 27, 28 and 31 of the National Heritage esources Act 25 of 1999: 20%. 3

(11) esidential Sectional Title units: 10%. (12) Property registered in the name of an institution or organisation which has as its exclusive objective the protection of animals: 100% (13) Property registered in the name of an institution or organisation which has as its exclusive objective the provision and/ or promotion of youth development programmes: 100%. (14) Property that is vacant but that may not be developed as a direct result of the inability of Council to provide services, subject to the owner to provide written confirmation from the service entity stating that no development to be allowed for the duration of the ensuing financial year, as a result of lack of services: 50% of the vacant land tariff. 6 That the first 200 000 of the value of all residential property shall be exempted from rating. 7 Property developers who develops in identified Corridors of freedom as contemplated in the Growth and Development Strategy 2040 will pay a quarter of the rate as per the category of land for a period not exceeding two years during the construction phase and pay half the rate on the first year of operation. The property owner will pay full rates as per the category of property from the second year of operation onwards. This rebate will be based on application to the City. 4

ANNEXUE 2 AMENDMENT OF TAIFF OF CHAGES FO ELECTICITY SEVICES Annexure A: The year-on-year tariff increases are listed for the three financial Overall Tariff Escalation ates Category Type FY14 FY15 FY16 FY17 TOU MV 7.00% 9.73% 8.07% 7.65% TOU LV 3.75% 0.17% 7.82% 5.32% LPU MV 8.04% 7.41% 7.24% 7.39% LPU LV 7.12% 7.37% 7.21% 7.40% Commercial Conventional 7.00% 4.79% 5.89% 4.55% Commercial Prepaid 7.00% 9.40% 5.69% 4.36% Agricultural 7.11% 7.17% 7.31% 7.32% Domestic Conventional 7.18% 7.36% 7.35% 7.35% Domestic Prepaid 0.39% 7.45% 7.36% 7.37% eseller Commercial 5.79% 5.82% 4.45% eseller Domestic 2.37% 7.64% 7.76% Total sales price increase 7.04% * 7.05% 7.21% 7.14% * Approved escalation rate Bulk purchase GWh/a 12,608 12,482 12,482 12,482 NESA benchmarks: FY14 FY15 FY16 FY17 Percentage bulk power cost 70.00% 70.00% 70.00% 70.00% Percentage surplus 15% 15% 15% 15% System losses 10% 10% 10% 10% Avg sales / purchase price 1.64 1.60 1.60 1.60 TOU MV tariff / Eskom Megaflex 1.20 1.20 1.20 1.20 Expected performance: Percentage bulk power cost 73.3% 73.7% 74.0% 74.4% System losses 14.5% 13.5% 12.0% 10.0% Avg sales / purchase price 1.770 1.765 1.721 1.689 TOU (MV) tariff / Eskom Megaflex 1.444 1.443 1.436 1.417 5

SEGMENT Supply Units Block Service Capacity Maximum Energy Charge Position Charge Charge Summer Winter Summer Winter /month /month /kva /kva c/kwh c/kwh Large Customer - TOU HV kva kwh Peak 1 041.03 13 468.13 142.41 142.41 kwh Standard kwh Off-peak Large Customer - TOU MV kva kwh Peak 1 032.32 13 355.44 142.41 142.41 101.67 251.74 kwh Standard 79.02 96.49 kwh Off-peak 60.74 65.65 Large Customer - TOU LV kva kwh Peak 750.78 9 575.11 142.41 142.41 101.67 251.74 kwh Standard 79.02 96.49 kwh Off-peak 60.74 65.65 Large Customer MV kva kwh 563.08 3 011.19 142.41 142.41 88.98 106.46 Large Customer LV kva kwh 469.24 723.66 142.41 142.41 95.32 112.79 Large Customer eactive Energy c/kvarh 14.91 Business 400 V kva < 50 281.54 269.94 kwh 0-500 137.40 152.15 kwh 501-1000 150.81 165.56 kwh 1001-2000 158.15 172.90 kwh 2001-3000 163.92 178.67 kwh > 3000 169.24 183.99 kva < 100 281.54 385.75 kwh 0-500 137.40 152.15 kwh 501-1000 150.81 165.56 kwh 1001-2000 158.15 172.90 kwh 2001-3000 163.92 178.67 kwh > 3000 169.24 183.99 kva < 500 281.54 612.86 kwh 0-500 137.40 152.15 kwh 501-1000 150.81 165.56 kwh 1001-2000 158.15 172.90 kwh 2001-3000 163.92 178.67 kwh > 3000 169.24 183.99 kva > 500 281.54 1 039.23 kwh 0-500 137.40 152.15 kwh 501-1000 150.81 165.56 kwh 1001-2000 158.15 172.90 kwh 2001-3000 163.92 178.67 kwh > 3000 169.24 183.99 Business Prepaid 400 V kva < 50 kwh 0-500 141.09 141.09 kwh 501-1000 154.50 154.50 kwh 1001-2000 161.84 161.84 kwh 2001-3000 167.61 167.61 kwh > 3000 172.93 172.93 kva > 50 kwh 0-500 141.09 141.09 kwh 501-1000 154.50 154.50 kwh 1001-2000 161.84 161.84 kwh 2001-3000 167.61 167.61 kwh > 3000 172.93 172.93 6

SEGMENT Supply Units Block Service Capacity Maximum Energy Charge Position Charge Charge Summer Winter Summer Winter /month /month /kva /kva c/kwh c/kwh eseller Business (Conventional) 400 V kva < 50 281.54 269.94 kwh 0-500 133.40 148.15 kwh 501-1000 146.81 161.56 kwh 1001-2000 154.15 168.90 kwh 2001-3000 159.92 174.67 kwh > 3000 165.24 179.99 eseller Business (Prepaid) 400 V kwh 0-500 137.09 137.09 kwh 501-1000 150.50 150.50 kwh 1001-2000 157.84 157.84 kwh 2001-3000 163.61 163.61 kwh > 3000 168.93 168.93 Non-profit organisations 230 V A 60 93.85 0.00 A 80 93.85 0.00 kwh 0-500 90.63 90.63 kwh 501-1000 104.01 104.01 kwh 1001-2000 111.68 111.68 kwh 2001-3000 117.83 117.83 kwh > 3000 123.61 123.61 Agricultural 400 V kva < 50 281.54 378.70 105.41 123.14 kva > 50 281.54 378.70 105.41 123.14 Domestic TOU 3 Ø 230 V A 60 93.85 344.40 A 80 93.85 378.70 kwh Peak 109.89 262.09 kwh Standard 86.93 104.65 kwh Off-peak 68.39 73.38 Domestic TOU 1 Ø 230 V A 60 93.85 276.47 A 80 93.85 304.00 kwh Peak 109.89 262.09 kwh Standard 86.93 104.65 kwh Off-peak 68.39 73.38 Domestic 3 Ø Seasonal 230 V A 60 93.85 344.40 A 80 93.85 378.70 kwh 0-500 86.20 103.92 kwh 501-1000 99.58 117.30 kwh 1001-2000 107.25 124.97 kwh 2001-3000 113.40 131.12 kwh > 3000 119.18 136.90 Domestic 1 Ø Seasonal 230 V A 60 93.85 276.47 A 80 93.85 304.00 kwh 0-500 86.20 103.92 kwh 501-1000 99.58 117.30 kwh 1001-2000 107.25 124.97 kwh 2001-3000 113.40 131.12 kwh > 3000 119.18 136.90 Domestic 3 Ø 230 V A 60 93.85 344.40 A 80 93.85 378.70 kwh 0-500 90.63 90.63 kwh 501-1000 104.01 104.01 kwh 1001-2000 111.68 111.68 kwh 2001-3000 117.83 117.83 kwh > 3000 123.61 123.61 Domestic 1 Ø 230 V A 60 93.85 276.47 A 80 93.85 304.00 kwh 0-500 90.63 90.63 kwh 501-1000 104.01 104.01 kwh 1001-2000 111.68 111.68 kwh 2001-3000 117.83 117.83 kwh > 3000 123.61 123.61 7

SEGMENT Supply Units Block Service Capacity Maximum Energy Charge Position Charge Charge Summer Winter Summer Winter /month /month /kva /kva c/kwh c/kwh Domestic Prepaid 230 V kwh 0-500 94.26 94.26 kwh 501-1000 107.09 107.09 kwh 1001-2000 114.99 114.99 kwh 2001-3000 129.90 129.90 kwh > 3000 140.77 140.77 eseller Domestic (Conventional) 230 V A 60 93.85 344.40 A 80 93.85 378.70 kwh 0-500 86.63 86.63 kwh 501-1000 100.01 100.01 kwh 1001-2000 107.68 107.68 kwh 2001-3000 113.83 113.83 kwh > 3000 119.61 119.61 eseller Domestic (Prepaid) 230 V kwh 0-500 90.27 90.27 kwh 501-1000 103.09 103.09 kwh 1001-2000 110.99 110.99 kwh 2001-3000 125.90 125.90 kwh > 3000 136.77 136.77 Life Line Conventional Life Line Energy 230V 230 V obot Intersections 175.85 175.85 Streetlights & Billboard per 197.13 Luminaire 197.13 City Power consumption 0.00 0.00 AEL sales 72.04 87.97 8

SEGMENT Supply Units Block Serv+Cap Capacity Maximum Demand Energy Charge Position Charge Charge Summer Winter Summer Winter /month /month /kva /kva c/kwh c/kwh Large Customer - TOU HV kva kwh Peak 7.4% 23.2% 17.4% 30.1% 41.9% kwh Standard 36.9% 37.1% kwh Off-peak 26.8% 30.3% Large Customer - TOU MV kva kwh Peak 7.4% 1.9% -3.6% 12.6% 18.6% kwh Standard 16.9% 17.6% kwh Off-peak 8.5% 11.1% Large Customer - TOU LV kva kwh Peak 7.4% 22.6% 16.0% -25.7% -25.8% kwh Standard -5.7% -15.9% kwh Off-peak 3.4% 1.0% Large Customer MV kva kwh 7.4% -7.6% -12.0% 18.5% 3.7% Large Customer LV kva kwh 7.4% -9.5% -13.8% 19.4% 3.2% Large Customer eactive Energy c/kvarh 0.0% 0.0% 0.0% 7.3% 0.0% Business 400 V kva < 50 7.8% kwh 0-500 7.8% -24.8% kwh 501-1000 13.1% -18.8% kwh 1001-2000 15.8% -17.1% kwh 2001-3000 18.4% -15.6% kwh > 3000 21.4% -13.6% kva < 100 7.8% kwh 0-500 7.8% -24.8% kwh 501-1000 13.1% -18.8% kwh 1001-2000 15.8% -17.1% kwh 2001-3000 18.4% -15.6% kwh > 3000 21.4% -13.6% kva < 500 7.6% kwh 0-500 7.8% -24.8% kwh 501-1000 13.1% -18.8% kwh 1001-2000 15.8% -17.1% kwh 2001-3000 18.4% -15.6% kwh > 3000 21.4% -13.6% kva > 500 7.5% kwh 0-500 7.8% -24.8% kwh 501-1000 13.1% -18.8% kwh 1001-2000 15.8% -17.1% kwh 2001-3000 18.4% -15.6% kwh > 3000 21.4% -13.6% Business Prepaid kva < 50 kwh 0-500 -3.8% -3.8% kwh 501-1000 5.4% 5.4% kwh 1001-2000 10.4% 10.4% kwh 2001-3000 14.3% 14.3% kwh > 3000 18.0% 18.0% kva > 50 kwh 0-500 -3.8% -3.8% kwh 501-1000 5.4% 5.4% kwh 1001-2000 10.4% 10.4% kwh 2001-3000 14.3% 14.3% kwh > 3000 18.0% 18.0% 9

SEGMENT Supply Units Block Serv+Cap Capacity Maximum Demand Energy Charge Position Charge Charge Summer Winter Summer Winter /month /month /kva /kva c/kwh c/kwh eseller Business (Conventional) kva > 50 0.0% kwh 0-500 0.0% 0.0% kwh 501-1000 0.0% 0.0% kwh 1001-2000 0.0% 0.0% kwh 2001-3000 0.0% 0.0% kwh > 3000 0.0% 0.0% eseller Business (Prepaid) kwh 0-500 -3.8% -3.8% kwh 501-1000 -3.8% -3.8% kwh 1001-2000 -3.8% -3.8% kwh 2001-3000 -3.8% -3.8% kwh > 3000-3.8% -3.8% Non-profit organisations 230 V A 60 0.0% A 80 0.0% kwh 0-500 0.0% 0.0% kwh 501-1000 0.0% 0.0% kwh 1001-2000 0.0% 0.0% kwh 2001-3000 0.0% 0.0% kwh > 3000 0.0% 0.0% Agricultural 400 V kva < 50 14.4% 9.8% -6.3% kva > 50 6.5% 9.8% -6.3% Domestic TOU 3 Ø 230 V A 60 0.0% A 80 0.0% kwh Peak 0.00% 0.00% kwh Standard 0.00% 0.00% kwh Off-peak 0.00% 0.00% Domestic TOU 1 Ø 230 V A 60 0.0% A 80 0.0% kwh Peak 0.00% 0.00% kwh Standard 0.00% 0.00% kwh Off-peak 0.00% 0.00% Domestic 3 Ø Seasonal 230 V A 60 23.6% A 80 24.9% kwh 0-500 -14.3% -31.3% kwh 501-1000 -2.5% -23.7% kwh 1001-2000 3.4% -19.9% kwh 2001-3000 7.7% -17.2% kwh > 3000 11.6% -14.8% Domestic 1 Ø Seasonal 230 V A 60 7.4% A 80 10.2% kwh 0-500 -14.3% -31.3% kwh 501-1000 -2.5% -23.7% kwh 1001-2000 3.4% -19.9% kwh 2001-3000 7.7% -17.2% kwh > 3000 11.6% -14.8% Domestic 3 Ø 230 V A 60 7.9% A 80 9.1% kwh 0-500 -4.1% -4.1% kwh 501-1000 7.2% 7.2% kwh 1001-2000 12.7% 12.7% kwh 2001-3000 16.0% 16.0% kwh > 3000 20.3% 20.3% Domestic 1 Ø 230 V A 60 4.7% A 80 7.5% kwh 0-500 -4.1% -4.1% kwh 501-1000 7.2% 7.2% kwh 1001-2000 12.7% 12.7% kwh 2001-3000 16.0% 16.0% kwh > 3000 20.3% 20.3% 10

SEGMENT Supply Units Block Serv+Cap Capacity Maximum Demand Energy Charge Position Charge Charge Summer Winter Summer Winter /month /month /kva /kva c/kwh c/kwh Domestic Prepaid kwh 0-500 6.5% 6.5% kwh 501-1000 6.7% 6.7% kwh 1001-2000 7.6% 7.6% kwh 2001-3000 9.8% 9.8% kwh > 3000 11.0% 11.0% eseller Domestic (Conventional) 230 V A 60 0.0% A 80 0.0% kwh 0-500 0.0% 0.0% kwh 501-1000 0.0% 0.0% kwh 1001-2000 0.0% 0.0% kwh 2001-3000 0.0% 0.0% kwh > 3000 0.0% 0.0% eseller Domestic (Prepaid) kwh 0-500 2.0% 2.0% kwh 501-1000 2.7% 2.7% kwh 1001-2000 3.8% 3.8% kwh 2001-3000 6.5% 6.5% kwh > 3000 7.9% 7.9% Life Line Conventional Life Line Energy 230V 230 V obot Intersections 7.3% 7.3% Streetlights & Billboard per Luminaire 7.3% 7.3% City Power consumption 0.0% 0.0% AEL sales 8.1% 8.1% Annexure D Schedule of Tariffs for 2014/15 AMENDMENT OF TAIFF OF CHAGES FO ELECTICITY SEVICES In terms of Sections 17(3)(a)(ii) and 22(a)(i) and (ii) of the Local Government: Municipal Finance Management Act, 2003 (Act 56 of 2003) and Sections 21(1) and (3), 21A and 75A(3) and (4) of the Local Government: Municipal Systems Act, 2000 (Act 32 of 2000) as amended, it is hereby notified that the City of Johannesburg has, in terms of Sections 11(3)(i) and 75A(1) and (2) of the Local Government: Municipal Systems Act, 2000 (Act 32 of 2000) as amended, read with Section 24(2)(c)(ii) of the Local Government: Municipal Finance Management Act, 2003 (Act 56 of 2003), amended its Tariff of Charges for Electricity Services with effect from 1 July 2014. STANDAD TAIFF SCHEDULE 1. Domestic Tariff 1.1 This tariff shall be applicable for electricity supply to: 1.1.1 Private houses; 11

1.1.2 Dwelling-units which are registered under the Sectional Titles Act, 1972 (Act 66 of 1971); 1.1.3 Flats; 1.1.4 Boarding houses and hostels; 1.1.5 esidences or homes run by charitable institutions; 1.1.6 Premises used for public worship, including halls or other buildings used for religious purposes; 1.1.7 Caravan parks. 1.2 Four tariff structures are available, i.e. (i) a prepaid tariff, (ii) a Three-Part Flat tariff, (iii) a Three-Part Seasonal tariff, and (iv) a Time-of-Use tariff. Customers that would prefer the Time-of-Use tariff structure are required to have meters installed with automated meter reading capability. 1.3 esellers servicing the residential market will qualify for either a conventional or a prepaid tariff, depending on their supply structure to the ultimate consumers. 1.4 The following charges will be payable per month, or part thereof: 12

Breaker Demand Consumption Fixed Demand Energy size block charge charge charge Item Units A kva kwh/month /month /kva c/kwh Prepaid tariffs Prepaid 1 0 to 500 94.26 Prepaid 2 501 to 1000 107.09 Prepaid 3 1001 to 2000 114.99 Prepaid 4 2001 to 3000 129.90 Prepaid 5 Above 3000 140.77 Three-part flat tariffs Single phase Service charge 60 93.85 Service charge 80 93.85 Network charge 60 276.47 Network charge 80 304.00 Energy charge 0 to 500 90.63 Energy charge 501 to 1000 104.01 Energy charge 1001 to 2000 111.68 Energy charge 2001 to 3000 117.83 Energy charge Above 3000 123.61 Three phase Service charge 60 93.85 Service charge 80 93.85 Network charge 60 344.40 Network charge 80 378.70 Energy charge 0 to 500 90.63 Energy charge 501 to 1000 104.01 Energy charge 1001 to 2000 111.68 Energy charge 2001 to 3000 117.83 Energy charge Above 3000 123.61 13

Breaker Demand Consumption Fixed Demand Energy size block charge charge charge Item Units A kva kwh/month /month /kva c/kwh Time-of-use tariffs - single phase Service charge 60 93.85 Service charge 80 93.85 Network charge 60 276.47 Network charge 80 304.00 Energy charge (Summer: PEAK) 109.89 Energy charge (Summer: STANDAD) 86.93 Energy charge (Summer: OFF-PEAK) 68.39 Energy charge (Winter: PEAK) 262.09 Energy charge (Winter: STANDAD) 104.65 Energy charge (Winter: OFF-PEAK) 73.38 Time-of-use tariffs - three phase Service charge 60 93.85 Service charge 80 93.85 Network charge 60 344.40 Network charge 80 378.70 Energy charge (Summer: PEAK) 109.89 Energy charge (Summer: STANDAD) 86.93 Energy charge (Summer: OFF-PEAK) 68.39 Energy charge (Winter: PEAK) 262.09 Energy charge (Winter: STANDAD) 104.65 Energy charge (Winter: OFF-PEAK) 73.38 14

Breaker Demand Consumption Fixed Demand Energy size block charge charge charge Item Units A kva kwh/month /month /kva c/kwh Three-part seasonal tariffs Single phase Service charge 60 93.85 Service charge 80 93.85 Network charge 60 276.47 Network charge 80 304.00 Energy charge (Summer: September - May) 0 to 500 86.20 Energy charge (Summer: September - May) 501 to 1000 99.58 Energy charge (Summer: September - May) 1001 to 2000 107.25 Energy charge (Summer: September - May) 2001 to 3000 113.40 Energy charge (Summer: September - May) Above 3000 119.18 Energy charge (Winter: June - August) 0 to 500 103.92 Energy charge (Winter: June - August) 501 to 1000 117.30 Energy charge (Winter: June - August) 1001 to 2000 124.97 Energy charge (Winter: June - August) 2001 to 3000 131.12 Energy charge (Winter: June - August) Above 3000 136.90 Three phase Service charge 60 93.85 Service charge 80 93.85 Network charge 60 344.40 Network charge 80 378.70 Energy charge (Summer: September - May) 0 to 500 86.20 Energy charge (Summer: September - May) 501 to 1000 99.58 Energy charge (Summer: September - May) 1001 to 2000 107.25 Energy charge (Summer: September - May) 2001 to 3000 113.40 Energy charge (Summer: September - May) Above 3000 119.18 Energy charge (Winter: June - August) 0 to 500 103.92 Energy charge (Winter: June - August) 501 to 1000 117.30 Energy charge (Winter: June - August) 1001 to 2000 124.97 Energy charge (Winter: June - August) 2001 to 3000 131.12 Energy charge (Winter: June - August) Above 3000 136.90 Conventional resellers' tariffs Service charge 60 93.85 Service charge 80 93.85 Network charge 60 344.40 Network charge 80 378.70 Energy charge 0 to 500 86.63 Energy charge 501 to 1000 100.01 Energy charge 1001 to 2000 107.68 Energy charge 2001 to 3000 113.83 Energy charge Above 3000 119.61 Prepaid resellers' tariffs Prepaid 1 0 to 500 90.27 Prepaid 2 501 to 1000 103.09 Prepaid 3 1001 to 2000 110.99 Prepaid 4 2001 to 3000 125.90 Prepaid 5 Above 3000 136.77 15

1.5 ules applicable to this category: 1.5.1 A consumer whose capacity exceeds 100 kva, may on application, be charged in accordance with item 4 (Large Consumers). 1.5.2 Customers who had been classified as domestic consumers before 1 July 1999 may retain this classification until such time as their supply is modified or upgraded, or their primary use of electrical energy changes. 1.5.3 All domestic customers who are registered for the Expanded Social Package will qualify for the conventional lifeline tariff. If these customers should consume more than 500kWh per month, prepaid rates will apply. 1.5.4 The cost to migrate between tariff options will be determined as reflected in section 6 of this document. 1.5.5 Everyone will be expected to take part in any of City of Johannesburg energy saving initiatives. 1.5.6 All individuals/customers who qualify for the Extended Social Package (ESP) will receive free electricity as approved by Social Development Department. 1.5.7 Customers on the Extended Social Package who are disconnected may not accumulate the allocation of free electricity during the period of disconnection. 1.5.8 A maximum of 150 kwh per month may be allocated as free electricity under the Extended Social Package, and will be limited to actual consumption if less than 150 kwh per month is consumed. 1.5.9 Billed customers on the ESP will receive the grant as a credit on their bills, the value of which will equal the monetary value to their allocated free bundle. 1.5.10 Prepaid domestic customers may collect their free electricity allocations from any of the City Power vending stations. 1.5.11 Free allocations that are not claimed in any particular month will be forfeited and may not be carried over to subsequent months. 16

1.5.12 Body Corporates of complexes, flats, cluster developments and all other resellers are required to register with City Power to qualify for the resellers tariffs. These parties are also required to provide City Power with an affidavit declaring the number of units in use in the complex, normal consumption tariffs will apply, as per unit in the complex, rather than the tariff that would be deemed appropriate for the complex as an aggregate. The changes will be implemented from the date of application. 1.5.13 Free allocations are not redeemable for cash. 1.5.14 The summer rates for the Three-Part Seasonal Tariffs will be applicable from September to May - both months inclusive. This amounts to a 9 month period per annum. 1.5.15 The winter rates for the Three-Part Seasonal Tariffs will be applicable from June to August - both months inclusive. This amounts to a 3 month period per annum. 1.5.16 Prepaid meters will be reset at the beginning of each month for all pre-paying customers. No block categorisation will be done. All customers will buy the initial 500 kwh in the month at the first block tariff and then advance through the blocks to their ultimate consumption for the month. 2. Agricultural Tariff 2.1 This tariff shall apply to property, or portions of land zoned for agricultural purposes, with a maximum demand of 40kVA. 2.2 Any connection for Business purposes on a property, or portions of land zoned for agricultural purposes, will be charged as per section 3 or 4. 2.3 The following charges will be payable per month, or part thereof: 17

Breaker size Demand Consumption block Fixed charge Demand charge Energy charge Item Units A kva kwh/month /month /kva c/kwh Agricultural tariffs Service charge < 50 281.54 Service charge > 50 281.54 Network charge < 50 378.70 Network charge > 50 378.70 Energy charge (Summer: September - May) 105.41 Energy charge (Winter: June - August) 123.14 2.4 ules applicable to this category: 2.4.1 The agricultural tariff may also be applicable in cases where an erf, stand, lot or any other area, or any subdivision thereof, whether owned by a township developer or not, with or without improvements can, in the opinion of City Power, be connected to the City Power s mains, regardless whether electricity is consumed or not. 2.4.2 The summer rate will be applicable from September to May - both months inclusive. This amounts to a 9 month period per annum. 2.4.3 The winter rate will be applicable from June to August - both months inclusive. This amounts to a 3 month period per annum. 3. Business Tariff 3.1 This tariff shall primarily be applicable to supply consumption capacities not exceeding 100 kva for purposes other than the purposes specified in item 1 and includes, in particular, a supply for: 3.1.1 Business purposes; 3.1.2 Industrial purposes; 3.1.3 Nursing homes, clinics and hospitals; 3.1.4 Hotels; 3.1.5 ecreation halls and clubs; 18

3.1.6 Bed &breakfast houses; 3.1.7 Educational institutions including schools and registered crèches; 3.1.8 Sporting facilities; 3.1.9 Mixed load of non-domestic and domestic; 3.1.10 Welfare organisations of a commercial nature; 3.1.11 Traffic intersections; 3.1.12 Streetlights and billboards; 3.1.11 Temporary connections; 3.1.12 Consumers not provided for under any other item of this tariff. 3.2 Although business tariffs apply for consumption capacities not exceeding 100 kva, exceptions can be made to accommodate consumers with greater than 500 kva capacity, provided that they cannot be classified as Large Consumers as per section 4. 3.3 Any customer in this tariff category that do not have a special concession as per item 3.2, and who exceed the maximum consumption of 100 kva, will automatically be converted to the category of Large Consumers as per section 4. 3.4 esellers servicing the residential market will qualify for either a conventional or a prepaid tariff, depending on their supply structure to the ultimate consumers. 3.5 The charges payable for the consumption of electricity energy shall be as follows: 19

Breaker Demand Consumption Fixed Demand Energy size block charge charge charge Item Units A kva kwh/month /month /kva c/kwh Conventional Business tariffs Service charge < 50 281.54 Service charge < 100 281.54 Service charge < 500 281.54 Service charge > 500 281.54 Network charge < 50 269.94 Network charge < 100 385.75 Network charge < 500 612.86 Network charge > 500 1 039.23 Energy charge (Summer: September - May) 0 to 500 137.40 Energy charge (Summer: September - May) 501 to 1000 150.81 Energy charge (Summer: September - May) 1001 to 2000 158.15 Energy charge (Summer: September - May) 2001 to 3000 163.92 Energy charge (Summer: September - May) Above 3000 169.24 Energy charge (Winter: June - August) 0 to 500 152.15 Energy charge (Winter: June - August) 501 to 1000 165.56 Energy charge (Winter: June - August) 1001 to 2000 172.90 Energy charge (Winter: June - August) 2001 to 3000 178.67 Energy charge (Winter: June - August) Above 3000 183.99 Prepaid Business tariffs Prepaid energy < 100 0 to 500 141.09 Prepaid energy 501 to 1000 154.50 Prepaid energy 1001 to 2000 161.84 Prepaid energy 2001 to 3000 167.61 Prepaid energy Above 3000 172.93 Prepaid energy > 100 0 to 500 141.09 Prepaid energy 501 to 1000 154.50 Prepaid energy 1001 to 2000 161.84 Prepaid energy 2001 to 3000 167.61 Prepaid energy Above 3000 172.93 20

Breaker Demand Consumption Fixed Demand Energy size block charge charge charge Item Units A kva kwh/month /month /kva c/kwh Conventional resellers' tariffs Service charge 281.54 Network charge 269.94 Energy charge (Summer: September - May) 0 to 500 133.40 Energy charge (Summer: September - May) 501 to 1000 146.81 Energy charge (Summer: September - May) 1001 to 2000 154.15 Energy charge (Summer: September - May) 2001 to 3000 159.92 Energy charge (Summer: September - May) Above 3000 165.24 Energy charge (Winter: June - August) 0 to 500 148.15 Energy charge (Winter: June - August) 501 to 1000 161.56 Energy charge (Winter: June - August) 1001 to 2000 168.90 Energy charge (Winter: June - August) 2001 to 3000 174.67 Energy charge (Winter: June - August) Above 3000 179.99 Prepaid resellers' tariffs Prepaid energy 0 to 500 141.09 Prepaid energy 501 to 1000 154.50 Prepaid energy 1001 to 2000 161.84 Prepaid energy 2001 to 3000 167.61 Prepaid energy Above 3000 172.93 Non-profit organisations' tariffs Service charge 60 93.85 Service charge 80 93.85 Network charge 60 0.00 Network charge 80 0.00 Energy charge 0 to 500 90.63 Energy charge 501 to 1000 104.01 Energy charge 1001 to 2000 111.68 Energy charge 2001 to 3000 117.83 Energy charge Above 3000 123.61 Traffic intersections 175.85 Streetlights and billboards per luminaire 197.13 3.6 ules applicable to this category: 3.6.1 Due to capacity constraints everyone will be expected to take part in any of City of Johannesburg energy saving initiatives. 3.6.2 The summer rate will be applicable from September to May - both months inclusive. This amounts to a 9 month period per annum. 3.6.3 The winter rate will be applicable from June to August - both months inclusive. This amounts to a 3 month period per annum. 3.6.4 If a customer in this category would request for a transfer to another tariff option, the customer should remain in that new tariff structure for a minimum period of 12 months before he/she will qualify to migrate to another tariff. 21