Nersa warns municipalities over new tariff application deadlines

Nersa warns municipalities over new tariff application deadlines

The National Energy Regulator of South Africa (Nersa) approved an 8.76% Eskom tariff increase from April and a 9.01% municipal hike from July, following a pricing error and ongoing public consultation.

NERSA PUBLIC HEARING MIDRAND
Anastasi Mokgobu / JacaNews


The National Energy Regulator of South Africa (Nersa) says it remains committed to regulating the electricity sector in a manner that balances cost-reflective tariffs, consumer protection and the financial sustainability of the electricity supply industry.


The average tariff increase for Eskom direct customers will be 8.76 per cent on April 1 and 9.01 per cent for municipalities on July 1. 


The latest hikes follow a 12.7% increase in 2024/2025 and 12.74% in 2025/2026. 


Errors in Nersa’s earlier price determination also contributed to the steep tariff hike, which was originally set for 5% and 6%, respectively. 


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The revised tariff hike follows an out-of-court settlement between Nersa and the power utility, with consumers ultimately bearing the brunt of the calculation error. 


Nersa has since appointed a forensic investigation firm to examine the causes of the error.


Meanwhile, Nersa’s spokesperson, Charles Hlebela, says the public consultation process on municipal tariff applications will conclude in April. 


“Nersa will finalise the consideration of the applications and communicate its decisions by the 11th of May 2026. These timelines will ensure that Nersa consider the applications timeously and will enable municipalities to implement approved tariffs.”


Hlebela warned that failure to meet the revised deadlines may affect the processing and approval of the municipal electricity tariff applications.


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