Cape Town - Eskom’s intention to implement a staggering 36.15% increase in tariffs for next year has sparked alarm among South Africans.
For Eskom’s direct customers, the proposed price hikes average 36.15% from April 1, 2025 to March 31, 2026, followed by 11.81% from April 1, 2026 to March 23, 2027, and 9.10% from April 1, 2027 to March 31, 2028.
Cape Town Mayco member for energy Xanthea Limberg said the price increases would further deteriorate living conditions for many residents.
“It is unthinkable that an increase of such a magnitude is even proposed. The City is already bearing the brunt of Eskom’s rising tariffs.
“Some 75% of the City’s income received from electricity sales goes directly to Eskom. So any big Eskom increase has a profound impact on the City,” Limberg said.
The DA has initiated a petition against the hikes, which has already collected over 100000 signatures.
DA MP and spokesperson on Energy and Electricity Kevin Mileham condemned Eskom’s tariff hike proposal as “outrageous”.
“These increases threaten households, businesses, municipalities and the broader economy,” Mileham said.
The National Energy Regulator of South Africa (Nersa) released Eskom’s Multi-Year Price Determination (MYPD) for the next three fiscal years on Monday, which showed Eskom submitted total revenue applications of R446 billion, R495bn and R537bn for the fiscal years 2026, 2027 and 2028.
Nersa is set to hold a thorough public consultation regarding Eskom’s revenue application. Written feedback can be sent in until November 1.
After this date, Nersa will gather all the comments received to consider them in its decision-making process.
The Congress of South African Trade Unions (Cosatu) has urged Nersa to reject Eskom’s suggested electricity tariff increase.
The trade federation’s national spokesperson, Zanele Sabela, said the proposals were unaffordable, arguing they would severely impact both businesses and the livelihoods of citizens.
“South Africans have been battling the rising cost of living, but the working class and poor have been struggling to provide even the bare minimum for their families,” she said.
“We urge Nersa not to allow this to proceed as it will be devastating for working class and poor communities.”
Cosatu emphasised that the government should enhance support for Eskom to lessen its reliance on steep electricity tariff hikes and to ensure that load shedding becomes a thing of the past.
Civic organisations, including the Mitchell's Plain United Residents Association, have rejected the proposal.
Association deputy chairperson, Michael Jacobs, said the most vulnerable populations are the hardest hit by Eskom's proposed electricity price increase.
A lower income earner previously indicated that R100 bought her 26 units.
“It will result in further hardship for poor households who are already struggling under high municipal bills, escalating food and transport costs,” he said.