South African electricity users could face another above-inflation tariff increase next year, with the National Energy Regulator of South Africa (NERSA) considering an average 8.8% increase in Eskom electricity prices from 1 April 2027.
Also see: Free basic electricity available: Eskom calls on qualifying households to apply
The proposal is contained in NERSA’s consultation process on Eskom’s 2027/28 Retail Tariff Structural Adjustment (ERTSA).
Members of the public and other stakeholders have until 2 October 2026 to submit comments before NERSA makes its final decision.
The proposed increase follows an 8.76% tariff hike for Eskom direct customers implemented in April 2026, while municipal customers faced a roughly 9% increase from July.
NERSA had initially approved lower increases of 5.36% for 2026/27 and 6.19% for 2027/28, but revised these figures after acknowledging errors in its earlier calculations. The regulator subsequently raised the increases to 8.76% and 8.83%, saying the revised figures sought to balance Eskom’s financial sustainability with customer affordability.
The latest consultation also involves changes to Eskom’s tariff structure, including fixed service charges for residential customers. Eskom said some charges would need to become ‘more cost-effective,’ while energy rates would be adjusted to ensure the overall increase remains within the proposed 8.8%.
Also see: Eskom reports R30.3 billion profit for year ended March 2026
Rising electricity costs
The proposed increase comes as Eskom attempts to strengthen its finances despite declining electricity sales.
According to Reuters, Eskom reported a R30.3 billion profit for the financial year ended March 2026, more than double the previous year’s 14 billion. However, electricity volumes fell by 6.2% while municipal debt owed to Eskom increased by 17.9% to R111.6 billion.
Eskom has also made significant progress in improving electricity supply, with rolling blackouts implemented on only four days during the 2025/26 financial year, compared with 329 days in 2024.
However, rising tariffs remain a major concern for households and businesses, particularly as consumers increasingly turn to solar power and other alternatives to reduce their reliance on the national grid.
NERSA’s consultation process means the 8.8% figure is not yet the final tariff increase. Stakeholders have until 2 October to submit, after which the regulator will consider the comments before reaching a final decision.
Originally published by Cape{town}etc.
Also see: Eskom tariff increase approved by regulator for 2027
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