On 30 January 2015 Itac announced the proposed creation of a Rebate Item for goods of any description (excluding mounted or populated circuit boards) for the manufacture of prepayment electricity supply metres classifiable in tariff subheading 9028.30, at such times, in such quantities and subject to such conditions as Itac may allow by specific permit, provided the Itac Commission is satisfied that the circuit boards are mounted and populated in the Southern African Customs Union (Sacu) region.
The application was lodged by Itron Metering Solution (Pty) Ltd who reasoned that:
(i) The local industry is facing fierce competition from low-priced imports of electricity metres, particularly from China;
(ii) Electricity metres are currently duty free, whilst some components used in the manufacture of electricity metres attract import duties. Consequently, the local industry manufacturing electricity metres is placed at an additional disadvantage; and
(iii) The local industry is losing market share, and this will result in job losses.
Comment is due by 27 February 2015.