By Levy Masiteng
Eskom will implement an average 8.76% electricity price increase for direct customers from 1 April after regulator Nersa approved higher tariffs linked to a re-determination of the utility’s generation regulatory asset base.
Municipal bulk purchasers will implement tariff increases averaging 9.01% from 1 July, in line with the Municipal Finance Management Act.
Nersa said in February that Eskom would recover R12 billion of the additional allowable revenue in 2026/27, helping lift the direct-customer increase to 8.76%.
“We have been clear in communicating that Eskom is working to ensure that future tariff increase requests remain reasonable, recognising the affordability pressures on both residential and business customers. Achieving this depends on disciplined financial management and finding smarter, more efficient ways of operating,” Eskom Group Chief Financial Officer Calib Cassim said.
The utility said the tariff increase supports its ability to provide a stable and reliable electricity supply.
It said its revenue requirement covers the cost of generating, transmitting and distributing electricity, while “migrating towards a fair return needed to maintain and invest in critical infrastructure”.
It added that Nersa had considered both customer affordability and the long-term sustainability of the electricity system.
Engineering News reported that the higher 2026/27 tariff was adjusted to account for a R54.7-billion error made by the regulator when calculating Eskom’s regulatory asset base.
Eskom said subsidised tariffs would remain in place.
Homelight tariffs continue to be subsidised through the Affordability Subsidy Charge, while rural tariffs remain subsidised due to higher network costs.
The utility said these network-related subsidies are recovered through the Electrification and Rural Subsidy charge and the Low-Voltage charge.
“These measures continue to ensure that electricity remains accessible and affordable for low-income and rural households,” Eskom said.
Eskom also said it had made steady progress over the past three years in improving the performance of its generation fleet.
Its Energy Availability Factor increased to 65.85% year to date for the period from 1 April 2025 to 12 March 2026, while the fleet reached or exceeded 70% on 83 occasions.
The baseload units that anchor the system had improved from 9% availability two years ago to more than 98% today.
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