The National Energy Regulator of South Africa (Nersa) on Thursday approved Eskom’s tariff increases of 12.74% for 2025/26, 5.36% for 2026/27 and 6.19% for 2027/28.
Nersa said Eskom submitted its revenue application for 2025/26, 2026/27, and 2027/28, requesting R445bn, R495bn and R536bn respectively. This meant that based on Eskom’s application, the proposed standard tariff increases were projected at 36.15%, 11.81%, and 9.10% for the three years.
Nersa said it made its decision after conducting the due regulatory process, which included publishing Eskom’s sixth multiyear price determination revenue application and inviting written comments from stakeholders.
The energy regulator also conducted public hearings to solicit comments from interested and affected stakeholders.
“Nersa received more than 1,200 written comments from stakeholders who raised concerns such as affordability, Eskom’s performance, the impact of negotiated price agreements, municipal debt and the need for better consultation by Eskom and municipalities, among others,” Nersa said.
Nersa said it recognised the challenges faced by consumers and the importance of ensuring that electricity remained affordable, while also securing Eskom's financial sustainability.
“This decision, which is substantially lower than Eskom’s application, will have a positive impact on the South African economy, and a significantly lower impact on consumers,” the regulator said.
Nersa said it was anticipated that the overall impact of a more positive revenue outcome, buoyed by proactive regulatory instruments, should improve investor confidence to sustain and possibly increase production, which should translate to increased economic growth and stimulate electricity demand.
“We believe that this decision strikes a necessary balance between the needs of Eskom and the financial realities of consumers. We appreciate the contributions from all stakeholders during this process and look forward to continuing our engagements as we work towards a sustainable energy future for South Africa,” Nersa chair Thembani Bukula said.
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