Information from Eskom

The cost of electricity will increase on 1 April 2023 for Eskom’s direct, non-municipal, standard tariff customers by 18,65% and the municipal increase of 18,49% will come into effect on 1 July 2023.

Increases for other customers are itemised below.

This follows a decision by the National Energy Regulator of South Africa (Nersa) on 10 March 2023 approved Eskom’s annual tariff increases.

Nersa’s 2023/24 tariff decisions will be implemented as follows:

• Non-local authority tariffs (non-municipal customers) will come into effect from 1 April 2023 to 31 March 2024; and  

• Local authority tariffs will come into effect from 1 July 2023 to 30 June 2024 in compliance with  the Municipal Finance Management Act (MFMA).

Details

Eskom's direct, non-municipal customers on standard tariff will pay 18,65% more per kWh.

Municipalities will be levied 18,49% more per kWh.

A 10% increase will apply to the subsidised Homelight 20A inclining block tariff for Block 1 (>0-350 kWh) and Block 2 (>350kWh).

Nersa’s methodology allows for cross-subsidies. An affordability subsidy charge exists to keep Homelight 20A tariff increases lower than standard tariff increases. This affordability subsidy is paid by customers which are subject to non-municipal, large industrial and urban tariffs.

Non-municipal, large industrial and urban customers will be levied a 29,53% increase to subsidise the Homelight 20A tariff which will be increased by only 10% this year.

The tariff increase for non-municipal key industrial and urban customers will increase by 19,09% on 1 April 2023. This increase will include the standard increase of 18,49% plus the affordability subsidy charge.

Municipalities will continue to be levied 2022/23 tariffs until the 18,49% municipal increase comes into effect on 1 July 2023.

The Eskom Standard tariff category increases are outlined in the table below.