26. Power to recover expenditure

Where any electrical line or electrical plant is provided by the distribution licensee for the purpose of connect and supply of electricity to any person requiring a supply of electricity, subject to the provisions of subsection (2) of section 25, the licensee may require any expenses reasonably incurred in providing the line or plant or the connect and supply of electricity to the person concerned, to be defrayed by such person, to such extent as is allowed by the conditions of the distribution licence.

Where any person who requires a supply of electricity but has not sufficient means to defray the expenses incurred by the distribution licensee under subsection (1), such person may request the distribution licensee to connect and supply the electricity to the premises concerned, on the basis of recovering such expenses in reasonable monthly instalments along with the tariff and any other charges levied by the distribution licensee, in terms of the standard tariff agreement.

Where the distribution licensee is satisfied that a person as referred to in subsection (2) does not have sufficient means to defray in total the expenses incurred by the licensee, prior to providing the line or plant or connect and supply of electricity to the premises concerned, such person shall be required to enter into an agreement with the distribution licensee relating to the manner in which the expenses would be defrayed by him to the distribution licensee, before providing the line or plant or connect and supply of electricity to the premises is being attended to by the distribution licensee.

The information required by the distribution licensee for the purpose of being satisfied as provided for in subsection (3), that a person does not have sufficient means to defray any expenses incurred by such licensee, shall be based on such guidelines as shall be prescribed.

The Regulator may direct a person requiring a supply of electricity from a distribution licensee, to pay to the licensee in respect of any expenses reasonably incurred in providing any electric line or electrical plant used for the purpose of giving that supply, such amount as may be reasonable in all the circumstances, taking into account—

Directions given by the Regulator under subsection (5) may require the distribution licensee who has recovered an amount in respect of expenses reasonably incurred in providing any electric line or electrical plant to apply any amount so recovered or part thereof in making such payments as may be appropriate towards reimbursing any person who had previously contributed to such expenses.

Any reference in this section to “any expenses reasonably incurred in providing an electric line or electrical plant” includes a reference to the capitalized value of any expenses likely to be so incurred in maintaining the line or plant, in so far as such expenses are not recoverable by the distribution licensee as part of the charges made by the licensee for the supply of electricity.