The National Energy Regulator of South Africa has approved electricity hikes of 9.41%, 8.1% and 5.2% for the next three financial years, far below Eskom’s application for double-digit tariff increases.
These increases come as a result of NERSA approving the Eskom application, as they seek to claw back their multi-billion rand debt balance. The increases are something that we as South Africans unfortunately have had to get used to.
Eskom had sought three hikes in power prices of more than 15% over the next three years.
Instead, Nersa granted the power utility three annual power price hikes of 9.41% this year – which, on top of the 4.4% hike that Nersa already approved from April, translates into an increase in the 2019 electricity tariff of 13.81% – followed by 8.1% for 2020 and 5.22% for 2021.
Thus, over three years, power prices are set to increase by almost 30%.
Whichever way you look at it, investing in taking your home off the grid is certainly worth a look.