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Mr Keith Jones has just purchased a house and investigates the electricity tariff options available to him before they move in two months’ time.

• They currently use an average of 38 kWh of electricity per day
• Electricity tariffs differ from region to region
• Individuals can also opt to use a Pre-Paid tariff structure

1.    How many units of electricity does the Jones family normally use in a month of 31 days?

2.    Complete the formula (in words) which can be used to calculate the monthly electricity cost in the Pretoria municipality:

Monthly electricity cost = …….................................................................

3.    Use the formula 2 to calculate the Jones family’s monthly electricity cost for a 31 day month in the Pretoria Municipality

4.    What would the monthly electricity cost be if the Jones family should choose to use Eskom Direct as their service provider?

Use the following formula:
Monthly electricity cost  = (Service charge × 31) + (Network charges × 31) + (Energy charges × ….. kWh used) + (Environmental Levy charge × 31)

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1.    Number units = 38 × 31 = 1 178 units

2.    Cost = Fixed charges  + Electricity Charge per kWh

OR

Cost = R700,15 + number of kWh used (R0,9568)

3.    Cost = R700,15 + (1 178 × R0,9568)

= R700,15 + R1 127,11

= R1 827,26

4.    Cost = (13,22×31) + (10,35×31) + (1 178×0,8621) + (0,1864×31)

= R409,82 + 320 85 + 1 015,55 + 5,78

= R1 752
by Diamond (39,246 points)

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