Newcastillians will face a surge in electricity tariffs in a matter of days as the final countdown begins towards the implementation of higher rates in July.
In March 2023, the National Energy Regulator of South Africa (NERSA) made a decision on Eskom‘s Retail Tariff and Structural Adjustment (ERTSA) application, approving an average tariff increase of 18.65% for Eskom’s standard tariff customers and an 18.49% increase for municipalities.
NERSA’s determination also revealed that key industrial and urban customers would experience an even greater impact, with a tariff hike of 18.65% plus an additional 7.37c/kWh subsidy, resulting in a total increase of 29.53%. However, Homelight 20Amp customers will face a relatively lower increase of 10%.
Newcastillian News covered the Energy Regulator’s decision in March 2023, highlighting that the revised tariffs would take effect for Eskom’s standard tariff customers starting from 1 April 2023 and for municipalities from 1 July 2023.
The reason for the delayed implementation for municipalities is the alignment with the government entities’ financial year, which begins in July each year.
According to NERSA, “The 1 July implementation date for municipalities complies with the requirements of the Municipal Finance Management Act, 2003 (Act No. 56 of 2003) (MFMA).”
As a result, Newcastillians can anticipate a substantial 18.49% increase in their monthly electricity bills, adding to the already burdensome cost of living devouring South Africa.
As the deadline approaches, we encourage you to share your thoughts and opinions on this matter in the comment section below.