NERSA faces backlash over Eskom’s proposed 2025 tariff increases – Tshwane mayor, DA lead the fight

Nersa approved City Power's application to charge some of its customers a monthly rate of R200 for the maintenance of its infrastructure. Picture: Supplied

Nersa approved City Power's application to charge some of its customers a monthly rate of R200 for the maintenance of its infrastructure. Picture: Supplied

Published Aug 21, 2024

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South Africa is bracing for potential electricity tariff increases in 2025 that could see prices jump by as much as 40%, as Eskom seeks a 36% increase along with an additional 4% from its Regulatory Clearing Account.

This proposal has drawn fierce criticism from political leaders and concerned residents, many of whom are already grappling with the high cost of living.

One of the most vocal opponents of the proposed increases is Tshwane Mayor Cilliers Brink.

The mayor has committed to formally rejecting Eskom’s bid, arguing that such steep hikes would exacerbate the financial pressure on already struggling households.

"We do have an affordability crisis in this country. We can't put consumers under more pressure," Brink said.

He added that he is working with other municipalities across the country to ensure that any approved increase is reasonable and does not further strain residents' finances.

Adding their weight to the resistance is the Democratic Alliance (DA), which has launched a nationwide petition against the tariff hikes.

The petition, which has already attracted over 12,000 signatures, calls on South Africans to voice their opposition to what the DA calls “unjustifiable” price increases.

DA spokesperson Kevin Mileham emphasised the severity of the situation.

“Eskom wants to hike electricity tariffs by 40% in the coming months. The DA is going to fight this, tooth and nail, and we need you to join this fight.”

Mileham pointed out that these increases could force families to choose between electricity and other essential needs, such as food.

The DA has also secured an urgent parliamentary debate on the issue, highlighting NERSA’s decision to allow Eskom to recover lost revenue through these tariff increases.

They argue that this “make-up tariff” unfairly penalises consumers for Eskom’s operational failures.

According to the DA, electricity prices have sky rocketed by 450% since 2007, and South Africans can no longer afford to bear the brunt of the power utility’s inefficiencies.

Concerned residents from across Tshwane have expressed their fears over the proposed hikes.

Sarah Mokoena from Pretoria North shared her concerns: “We are already struggling to make ends meet with the current tariffs. A 40% increase would be devastating for my family. We are considering solar, but even that is too expensive.”

In Mamelodi East, Mpho Dlamini echoed similar sentiments: “I don’t know how we will survive if this increase goes through. We are already barely getting by with the little we have. This hike will leave us in the dark, literally and financially.”

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