South Africans are set to face higher living costs as Eskom prepares to implement an average electricity tariff increase of about 8.8% from 1 April 2026, while fuel prices are also expected to rise sharply in the same period.
The increase, approved by the National Energy Regulator of South Africa (NERSA), will apply to customers who buy electricity directly from Eskom and remain in effect until March 2027.

Electricity Bills Set to Rise
The tariff adjustment will increase electricity prices by 8.76% on average for Eskom direct customers, a figure significantly higher than South Africa’s current inflation rate of about 3.5%.
Customers who receive electricity through municipalities will experience a slightly higher increase of about 9.01%, which is scheduled to take effect from 1 July 2026 due to municipal financial year cycles.
Energy experts say the tariff hike is aimed at helping Eskom cover the rising costs of generating, transmitting and distributing electricity across the country.
Correction of Tariff Calculations
The increase follows a regulatory review after errors were identified in previous tariff determinations. The recalculation resulted in a higher adjustment than initially expected.
The regulator received more than 2,000 submissions from stakeholders, including businesses, industry groups, municipalities and members of the public during the consultation process.
Despite objections from some sectors, NERSA maintained that the revised tariff was necessary to ensure Eskom’s financial stability and maintain electricity supply.
Fuel Price Increases Could Add Pressure
The electricity hike comes at the same time South Africans may face a major fuel price shock in April, with petrol and diesel prices potentially rising by R2 to R4 per litre due to higher global oil prices and a weaker rand.
Global oil prices have surged above $115 per barrel, driven partly by geopolitical tensions and supply disruptions, which could further push up domestic fuel costs.
Impact on Households and Businesses
Economists warn that the combined impact of rising electricity and fuel costs could place additional pressure on households and businesses already dealing with higher living expenses.

Electricity is a key input cost for industries such as mining, manufacturing and agriculture, meaning price increases often ripple through the broader economy.
Higher fuel prices also affect transport and logistics costs, which can ultimately drive up the price of goods and services.
Ongoing Energy Challenges
South Africa’s electricity sector continues to undergo major reforms aimed at stabilising the power system and improving Eskom’s financial position.
Independent power producers now supply a growing share of electricity to the grid, while efforts are underway to modernise infrastructure and expand renewable energy generation.
However, analysts say rising tariffs remain one of the biggest concerns for consumers as the country balances energy security with affordability.