Double disaster hitting households in South Africa in two weeks
Power utility Eskom has given notice that it is full steam ahead for electricity tariff hikes next month, with direct customer households expected to pay 8.76% more from 1 April 2026.
The tariff hike will kick South African households while they’re down, delivering a double blow as the country faces over R4.00 per litre price hikes to petrol, and over R7.00 per litre for diesel.
Eskom’s confirmation follows the final approval by energy regulator Nersa earlier in March of the power utility’s Retail Tariffs and Structural Adjustment (ERTSA) application, which was submitted in February.
The final approved increase is 8.76% for Eskom direct customers from 1 April, with an average 9.01% increase approved for municipal customers coming from 1 July.
Municipalities have until 31 March 2026 to submit their electricity tariff applications to Nersa, whereafter the regulator will launch a public consultation phase until 21 April.
The final municipal tariffs will be communicated on or before 11 May 2026, the regulator said.
Despite Eskom’s electricity increases coming in at almost triple CPI (currently estimated around 3.1%), the utility said it is working to ensure future tariff increases are “reasonable”.
“We have been clear in communicating that Eskom is working to ensure that future tariff increase requests remain reasonable, recognising the affordability pressures on both residential and business customers,” it said.
However, it said that achieving this depends on disciplined financial management and finding smarter, more efficient ways of operating.
“The tariff increase supports Eskom’s ability to provide a stable and reliable electricity supply. Eskom’s revenue requirement covers the cost of generating, transmitting and distributing electricity, while migrating towards a fair return needed to maintain and invest in critical infrastructure.”
The utility said that Nersa considered both customer affordability and the long‑term sustainability of the electricity system in approving its tariffs.
Nersa also included corrections to its own miscalculations and technical blunders in its handling of Eskom’s MYPD application in 2025.
This resulted in Eskom being allowed to collect an additional R54.7 billion from customers, split over three years.
The first tranche of R12 billion is being paid through higher tariffs in 2026, bringing the average increase up from an initial 5.4% to 8.76%.
A further R23 billion will be paid in 2027, with price hikes jumping from the original 6.2% to 8.8%.
The balance of R19.7 billion will be recovered through future price applications by Eskom in the next wave of hikes.
South Africans have also been warned that the tariff hikes are before any fixed charges are applied.
These charges will also increase in 2026, meaning households will pay even more than the 8.76% base price hikes in April.
Eskom’s announced tariff increases for 2026/27
Loading ...