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Expect to pay more for water in August

The Lesotho Electricity and Water Authority (LEWA) board has approved Water and Sewage Company’s tariff increment application for 2019/20.

The announcement comes after WASCO had submitted a tariff adjustment application of 8.5% tariff increase for both volumetric and standing charges for domestic and non-domestic customers and re-introduction of standing charge for Band A of M10.00.

When presenting the statement, LEWA chairperson Relebohile Mosito cited that in terms of section 24(6) of the LEA (Lesotho Electricity Authority) Act 2002 as amended, the authority embarked on a public consultation process wherein, WASCO’s application was published in print and other media from 02 to 31st May 2019.

Based on the facts and evidence presented to the authority by both the company and the public, Mosito said the authority found justification for WASCO’s application as submitted “inadequate.” Hence it was approved that volumetric water tariffs are increased by only 3% for all water consumers and 0% increase in sewage services tariffs.

“For instance, a Band A customer who currently pays a monthly bill of M26.90 will pay M27.65 per month. The standing charge is increased by 4.7% for all customers’ categories except for Band A,” he said.
The standing charge for Band A domestic customer category – which are those consuming between 0-5,000 litres per month, he said will remain at M0.00 as opposed to the proposed M10.00

 

According to Mosito, WASCO is allowed a revenue requirement of M212.64 million for water production and distribution business as opposed to M246.25milliom as proposed by the company. He added that sewage revenue requirement is allowed at M34.61 million as WASCO proposed.

Other charges such as connection fees he said remain unchanged; and the new tariffs become effective from 01 August 2019.