Eskom Tariffs To Rise by 3% Over Two Years After Nersa Settlement

Eskom has confirmed that electricity tariffs will increase by around 3% over the next two years. The decision follows an out-of-court settlement between Eskom and the National Energy Regulator of South Africa (Nersa), which admitted to miscalculating the utility’s revenue shortfall.

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As part of the deal, Nersa agreed to grant Eskom an additional R54 billion. The regulator also revealed plans to phase in further tariff adjustments over the next three years to address the funding gap.

Eskom spokesperson Daphne Mokwena said, “To address the adjustment, Nersa will implement a tariff increase of approximately three percent over the next two years with additional revisions anticipated thereafter. Both parties remain committed to maintain single digit increases to minimise the impact on consumers.”

Labour Unions Warn of Rising Poverty Levels

The South African Federation of Trade Unions (Saftu) strongly opposed the tariff increase, warning that it would worsen the financial strain on low-income households, SurgeZirc SA had initially reported.

Saftu spokesperson Newton Masuku said, “This settlement, while correcting technical errors, represents yet another blow to the working class and poor households already devastated by austerity, unemployment, and rising living costs.”

Political Leaders Demand Accountability from Nersa

Political voices have also criticised the settlement. Western Cape Premier Alan Winde rejected the agreement, arguing that the public deserves the right to challenge Nersa’s oversight.

His statement adds to growing calls for greater transparency and accountability in how energy tariffs are determined, especially as South Africans continue to face economic hardships alongside an unreliable electricity supply.

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