Minister of Electricity and Energy Kgosientsho Ramokgopa has revealed his department was finalising a new electricity pricing policy
Image: Supplied/GCIS
Minister of Electricity and Energy Kgosientsho Ramokgopa has revealed his department was finalising a new electricity pricing policy aimed at curbing tariff increases and easing pressure on consumers.
This comes as electricity prices continue to rise, placing a strain on households and businesses. Last month, IOL reported that in a move set to ripple through the economy, Eskom has revised its average tariff increase for direct customers upwards to 8.76%, effective from 1 April.
Speaking at the release of Eskom’s 2026 winter outlook for the system on Wednesday, Ramokgopa said the policy would soon be taken through Cabinet processes before being made public.
"We will be releasing a paper on the electricity price determination or electricity pricing policy. I've made the point. I'm happy to say that getting the final briefing that we're going to go through and the processes of government, I'm confident that we'll be able to accelerate this and be in the public domain at least. I had made the commitment previously that we want to be out before the end of April," Ramokgopa said.
He added that the policy is aimed at bringing more structure and predictability to electricity pricing, while trying to keep increases within manageable levels for consumers and the wider economy.
"I must say that from our side, we are done just going through a cabinet process. And I'm confident that at least before the end of May, we'll be in the public just to say to the public, this is how we see how we're going to address the issues of price increases".
He added that the government is working on an electricity price path that is affordable and does not add pressure on households or slow down economic growth.
He said the new framework will also introduce different pricing categories, including for high-intensity energy users, as part of an effort to stabilise the sector.
"That policy will also speak to the kind of relief that we're providing to poor households. As you know, I think it's 2001, 2003. I think it was 2003 when we introduced the free basic service.
"The point we're making is that below a certain threshold of domestic consumption for qualifying households, you are going to get free basic electricity. No, it's not consumption. It's gaining the capacity of the household".
mthobisi.nozulela@iol.co.za
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