Civil society and civic organisations in South Africa are pushing back against Eskom's proposed 8.83% electricity tariff increase, warning that it could deepen pressure on households and small businesses already struggling with soaring living costs. The public has until October 2 to comment on Eskom's proposed tariff structure as the National Energy Regulator of South Africa (NERSA) considers the application. If approved, the proposed increase for Eskom's direct customers would take effect from April 2027.

The Better Governance Initiative (BGI) has launched a petition opposing the increase, stating that electricity is consuming an increasingly large share of household and business budgets. BGI Founder and Director Sabelo Chalufu said residents simply cannot afford a further increase in the price of electricity. The organisation is calling on NERSA to reject the increase, arguing that Eskom has shown it can operate sustainably on previously approved tariff increases.

AfriForum will also submit formal comments opposing the increase, questioning it amid declining electricity sales and Eskom's multibillion-rand profit. Local Government Affairs Manager Morné Mostert said electricity sales fell by 6.2%, yet Eskom's revenue increased due to high tariffs. He warned that higher tariffs could push more households and businesses towards solar and other forms of self-generation, further reducing reliance on Eskom.

ActionSA Gauteng has entered the consultation process, focusing on how Eskom would recover revenue rather than just the headline increase. Gauteng Provincial Chairperson Funzi Ngobeni said the proposed structure could result in lower-consumption households facing a larger effective increase than heavier users. The organisation questions an R8.569 billion gap between Eskom's proposed and approved revenue figures.

Energy analyst Matthew Cruise said affordability needed to be considered alongside Eskom's financial obligations, including debt and infrastructure investment. He warned that rising tariffs could accelerate the shift towards alternative energy. NERSA needs to scrutinise whether the costs being recovered from consumers are efficient, reasonable, and allocated fairly between different customer groups.

NERSA has called for written comments by 4pm on October 2, 2026, with a virtual public hearing scheduled for October 8. Stakeholders wanting to attend or make presentations must submit requests by 4.30pm on October 2. NERSA said comments received would be considered when making its decision.

If approved, Eskom's proposed tariff increase would see direct customers facing an 8.83% increase from April 2027, while municipal bulk purchases would rise by 8.84% from July 2027. The proposed increase has sparked concerns about the impact on households and small businesses, with many calling for NERSA to reject the application.

Key points

  • Eskom's proposed 8.83% tariff increase has sparked opposition from civil society groups over affordability concerns.
  • The proposed increase could lead to a shift towards alternative energy sources, such as solar and self-generation.
  • NERSA will consider written comments and hold a virtual public hearing before making a decision on the proposed tariff increase.

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SaharaWire Newsroom
SaharaWire

Reporting for SaharaWire from the Nairobi bureau.