The National Energy Regulator of South Africa (NERSA) has approved Eskom’s Retail Tariffs and Structural Adjustment (ERTSA) application, confirming an average 12,74% tariff increase for Eskom direct customers and 11,32% for municipalities. The new tariffs will come into effect on April 1 for direct Eskom customers and July 1 for municipal customers.
The difference in percentage is brought about by the difference in the implementation dates of Eskom direct customers and municipalities buying from Eskom, NERSA says. “According to the ERTSA methodology, Eskom must recover the full allowed revenue within its financial year, which is from April to March. However, the municipal financial year is from July to June.”
The approved tariff adjustments vary by customer category with the following average increases:
Source: ESK114-Eskom-Digital-Tariff-Booklet-2024_Final.pdf
The tariff adjustment forms part of Eskom’s sixth Multi-Year Price Determination (MYPD6) revenue framework. It aligns with ongoing efforts by the Ministry of Electricity and Energy to revise the country’s Electricity Pricing Policy (EPP). The new EPP, which is expected to be published for public comment within the next 30 days, will review tariff-setting methodologies, special pricing agreements for large industrial users and the free basic electricity system for indigent households.
