South Africans, Eskom Electricity Price Hike is coming! From Tuesday, 1 April 2025, electricity prices will increase by 12.74% following the National Energy Regulator of South Africa’s (NERSA) approval.
This Eskom Electricity Price Hike is part of NERSA’s Sixth Multi-Year Price Determination (MYPD6) revenue application, which also includes further increases of 5.36% in 2026 and 6.19% in 2027. With inflation currently at around 3%, these hikes will significantly impact the cost of living.
Eskom Electricity Price Hike: The Breakdown
NERSA’s approved increases for the next three financial years are:
| Financial Year | Approved Tariff Increase (%) | Allowable Revenue (R Billion) |
|---|---|---|
| 2025/26 | 12.74% | R384 billion |
| 2026/27 | 5.36% | R409 billion |
| 2027/28 | 6.19% | R435 billion |
Despite Eskom originally requesting a much higher increase—including speculation of a possible 36.15% tariff hike—NERSA’s final approval resulted in a lower increase than anticipated. However, it is still significantly above inflation, putting more pressure on struggling consumers.
Learn More: Understanding Your Eskom Bill: How Electricity Tariffs Work
Why the Eskom Electricity Price Hike?
Eskom and NERSA justify the Eskom Electricity Price Hike by pointing to several financial and operational challenges, including:
- Rising operational costs – Eskom continues to face financial strain due to aging infrastructure and high maintenance costs.
- Debt repayment – Eskom carries massive debt, and increased tariffs are one way to raise funds.
- Coal and fuel costs – Despite renewable energy efforts, Eskom still relies heavily on coal-fired power stations.
- Infrastructure investment – Eskom claims the Eskom Electricity Price Hike is necessary to improve the grid and prevent worsening load shedding.
Public and Political Reaction to the Eskom Electricity Price Hike
The decision has sparked widespread backlash from political parties, businesses, and ordinary South Africans.
Government’s Stance
Minister of Electricity and Energy, Dr. Kgosientsho Ramokgopa, reassured South Africans that the 36.15% tariff increase Eskom initially requested would not be approved. While the approved 12.74% increase is lower than what Eskom wanted, it still places a heavy burden on consumers.
Democratic Alliance (DA) Response
The Democratic Alliance (DA) has strongly opposed the Eskom Electricity Price Hike, arguing that consumers cannot afford further financial strain.
“The DA firmly rejects the National Energy Regulator of South Africa’s (NERSA) approval of electricity tariff increases, including a staggering 12.74% for the 2025/26 financial year, followed by further hikes of 5.36% for 2026/27 and 6.19% for 2027/28,” said Kevin Mileham, DA spokesperson on Electricity and Energy.
Public Outrage
Many South Africans took to social media to express frustration, saying they already struggle to afford basic services. Businesses have also warned that increased electricity costs will drive higher prices for goods and services, affecting economic growth.
How Will the Eskom Electricity Price Hike Impact You?
For Households
- Expect higher electricity bills from April 2025.
- Households may need to reduce electricity consumption to manage expenses.
- Those using prepaid electricity will need to budget for more units.
For Businesses
- Higher operational costs could lead to increased prices on goods and services.
- Small businesses relying on electricity-intensive operations will feel the impact the most.
- Load shedding concerns remain, meaning businesses will continue to struggle despite paying more.
Ways to Reduce Your Electricity Bill Amid the Eskom Electricity Price Hike
With Eskom Electricity Price Hike coming, here are some practical tips to lower your energy costs:
1. Use Energy-Efficient Appliances
- Switch to LED light bulbs – they use up to 80% less energy.
- Invest in energy-efficient appliances with high energy ratings.
- Use gas appliances where possible to reduce electricity reliance.
2. Be Smart About Power Usage
- Unplug electronics when not in use – many devices consume standby power.
- Use timers or smart plugs to control unnecessary electricity consumption.
- Set geysers to 50-55°C and switch them off when not needed.
3. Invest in Alternative Energy Sources
- Solar power solutions are becoming more affordable and offer long-term savings.
- Consider installing an inverter and battery backup to minimize reliance on Eskom.
- Look into municipal rebates or government incentives for renewable energy solutions.
4. Monitor and Manage Usage
- Use electricity-monitoring apps to track and reduce energy consumption.
- Purchase prepaid electricity in bulk when prices are lower.
- Opt for energy-saving habits like cooking with lids on pots to reduce heat loss.
Looking Ahead: Will the Eskom Electricity Price Hike Continue?
With Eskom’s ongoing financial troubles, more Eskom Electricity Price Hikes are likely in the coming years. Consumers are encouraged to:
- Stay informed about tariff adjustments.
- Plan for future increases by improving energy efficiency.
- Explore alternative energy sources to reduce dependence on the grid.
Related: Budget 2025: VAT Hike to 15.5% Adds Pressure on Consumers
Final Thoughts on the Eskom Electricity Price Hike
The Eskom Electricity Price Hike of 12.74% from 1 April 2025 is another financial burden for South African households and businesses. While the increase is lower than Eskom’s initial request, it still outpaces inflation, making it harder for many to make ends meet.
As energy prices continue to rise, South Africans must look for smarter ways to manage electricity use and consider alternative energy solutions to reduce the impact of future hikes.
