EXPLAINED | Unpacking Nersa’s Eskom tariff approval, and the pain coming in April

South Africans will face higher electricity tariffs from April after the National Energy Regulator of South Africa (NERSA) approved increased rates for state-owned power utility Eskom, NERSA has said in a statement.

The regulator approved an 8.76% tariff increase effective April 1, followed by a further 8.83% rise in April 2027, replacing earlier, smaller increases of 5.36% and 6.19% previously approved for respective years.

NERSA said on Sunday the revision followed a High Court judgment last December, which remitted its earlier tariff decisions for the 2025/26, 2026/27, and 2027/28 financial years for re-determination and required public consultation. 

"The decision aims to ensure regulatory certainty, the financial sustainability of electricity supply, and the protection of consumers from undue tariff volatility," NERSA said. 

NERSA added that the re-determination is consistent with the statutory tariff principles, which require tariffs that enable an efficient licensee to recover the full cost of licensed activities, including a reasonable return. 

"NERSA remains committed to transparent, fair, and independent regulation in the public interest," said the statement.

Xinhua