Eskom price pain a few days away

 ·28 Mar 2024

Eskom says its 12% electricity price increase for the 2024/25 financial year will kick off on Monday, 1 April.

In October 2023, the embattled power utility approached the National Energy Regulator of South Africa (NERSA) to approve itsRetail Tariff and Structural Adjustment Application (ERTSA) and the Schedule of Tariffs for the period from 01 April 2024 to 31 March 2025.

Nersa thus determined the tariff increases, applicable to Eskom direct customers from 1 April 2024 and to Eskom’s tariffs for local authorities (municipalities) from 01 July 2024, as follows:

  • Eskom Direct customer (1 April 2024 to 31 March 2025)
    • All tariff charges except the affordability subsidy charge = 12.74%
    • Affordability subsidy charge = 25.24%
  • Local authority tariff charges (1 July 2024 to 30 June 2025) = 12.72%

“The average increase applied to the key industrial and urban tariffs will be 13.29% due to the increase in the affordability subsidy charge,” Eskom added.

“The affordability subsidy charge is raised as a subsidy to the Homelight 20A tariff and is determined by NERSA.

“This charge exists due to historically lower Homelight 20A tariff increases and is paid by the non-municipal large industrial and urban tariffs.”

Although there are no tariff structural changes for 2024/25, Eskom is considering a tariff restructuring submission to NERSA for 2025/26.

Eskom’s tools for analysing the changes can be accessed via its website.

Read: E-tolls to officially end next month

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