Presented by LookSee

Eskom price increases are coming – How to save money with LookSee

 ·25 Mar 2024

Huge Eskom electricity price increases are coming soon – and South Africans need to consider switching to affordable alternative energy solutions.

On 1 April 2024, a NERSA-approved 12.74% electricity tariff hike will come into effect. When compounded with last year’s 18.65% tariff hike, this will mean electricity costs 33.8% more than it did two years ago.

Municipal electricity tariff increases will come into effect on 1 July.

This is not a new phenomenon, as electricity prices have increased exponentially in South Africa since 2008 – as shown in the graph below.

This trend shows no sign of slowing down.

According to Eskom GM of Regulations Hasha Tlhotlhalemaje, Eskom is on a “migratory path” that requires tariffs that are “cost reflective” of electricity production.

Managing Director of Kruthum, Peter Attard Montalto, has estimated that electricity prices would need to be 40% to 45% higher to achieve Tlhotlhalemaje’s goals.

Saving money with LookSee

LookSee, a Standard Bank subsidiary that offers affordable residential solar solutions, believes that South Africans must find ways to avoid the negative impact of tariff hikes on their finances.

The first step is to make behavioural challenges to reduce your electricity bill, such as switching out your incandescent bulbs for LEDs, insulating your geyser, and minimising power usage during peak hours.

The last of these recommendations is in preparation for Eskom’s proposed time-of-use tariff – called Homeflex – which would charge residential users more for electricity used during peak times.

For the biggest savings, however, South Africans need to install alternative energy solutions.

Convert your geyser

LookSee recommends that you prioritise your geyser first, as water heating contributes to approximately 40% of the average household’s electricity bill.

The best choice is converting your existing electric geyser to use solar energy, as it is the most affordable and convenient solution.

In fact, LookSee Solar Loans for these conversions are so affordable that you will immediately “break even” when comparing your electricity savings to your monthly loan repayment.

If you don’t have the roof space to add solar panels, LookSee also provides smart geyser devices for homes on a subscription service.

These devices let you efficiently control your hot water temperatures, set specific periods when your geyser heats up, and much more – resulting in significant electricity savings.

Full solar systems

Once you have installed your preferred geyser system, you should also consider a full home solar solution.

Solar equipment prices have plummeted in recent years, while electricity tariffs have soared, making it more viable than ever to install solar at home.

LookSee offers bank-vetted home solar installations as well as a specialised Solar Loan with personalised interest rates ranging from Prime +1% to a maximum of Prime +2.5%, and the longer you wait, the more Eskom’s expensive electricity tariffs will affect you.

Installing a solar system not only saves you thousands of rand each year, but it also allows you to say goodbye to load-shedding at home.

Contact LookSee today about getting Solar.

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