South Africa’s energy crisis is about to hit a new peak, and it’s going to cost you—literally. Eskom, the nation’s largest power supplier, has submitted a shocking proposal to the National Energy Regulator of South Africa (Nersa) for a 36.15% tariff increase during its 2026 financial year. This staggering hike would come on top of a decade of relentless tariff increases that have averaged nearly 15% annually since 2010, far outpacing the country’s 5.2% average inflation rate over the same period.
As consumers, we’re paying more and more for electricity, while receiving less in terms of service, reliability, and stability. But this proposed increase is a warning sign that the worst may still be ahead.
The Real Impact on Consumers
If approved, this increase would push electricity costs to unsustainable levels for many South Africans. Already, the average household spends a significant portion of its income on electricity, and businesses—especially small and medium enterprises—are struggling to keep the lights on.
Here’s what this 36% hike means for you:
- Soaring Electricity Bills: The proposed increase will push many households and businesses to the breaking point. For a household currently paying R1,000 per month, a 36% increase would mean an additional R360—monthly.
- Economic Strain: Small businesses, which are the backbone of our economy, will face rising operational costs, potentially forcing closures, layoffs, or price increases that will hurt consumers.
- Service Quality: Despite the price hikes, service remains inconsistent. Load shedding and power outages are unlikely to disappear anytime soon, meaning you’ll be paying more for the same unreliable service.
The Future: What Comes Next?
If Eskom’s application is approved by Nersa, it’s a grim sign of what’s to come. South Africa is at a crossroads: without radical transformation in how electricity is generated and distributed, consumers will continue to bear the brunt of these costs. The reliance on coal-powered plants, slow adoption of renewable energy, and years of poor management have created a perfect storm.
This proposed 36% hike for 2026 isn’t just an outlier—it could signal a new normal of escalating tariffs as Eskom struggles to stay afloat.
What Can You Do to Protect Yourself?
Now more than ever, South Africans need to take control of their energy futures. While we cannot directly control Eskom’s pricing decisions, there are proactive steps we can take to safeguard against skyrocketing energy costs:
- Go Solar: Renewable energy, particularly solar, is becoming a more viable option for households and businesses. While the initial investment is significant, solar systems can drastically reduce or eliminate your dependence on Eskom, providing a long-term solution to rising electricity prices.
- Energy Efficiency: Reducing energy consumption is one of the simplest ways to cut costs. Use energy-efficient appliances, LED lighting, and smart meters to monitor and minimize your electricity usage. Small changes in consumption can lead to big savings over time.
- Backup Power: Consider investing in generators, inverters, or battery storage systems. These solutions not only help during load shedding but can also reduce your overall reliance on the grid.
- Budget and Plan Ahead: With tariff hikes on the horizon, it’s crucial to start budgeting for increased electricity costs. Factor these potential increases into your financial planning now, so they don’t catch you off guard in the future.
Conclusion: Prepare Now for the Future
Eskom’s proposed 36% tariff hike is a clear sign that South Africa’s energy crisis is far from over. But you don’t have to wait for the inevitable. By investing in alternative energy, being more energy-efficient, and staying informed, you can mitigate the impact of future electricity cost increases.
The time to act is now. The future of electricity in South Africa is uncertain, but with the right strategies, you can take control of your energy costs before they spiral out of reach.
