Municipal Electricity Tariffs Increase From 1 July

South African households and businesses supplied by municipalities will see electricity tariffs increase from 1 July as the new municipal financial year comes into effect.

The National Energy Regulator of South Africa (NERSA) has approved tariff increases for 176 licensed municipal and private electricity distributors, with municipal electricity purchases increasing by an average of 9.01%.

The increases will vary depending on the municipality and service provider.

Municipal Customers Face New Tariffs

While the national average increase sits at 9.01%, some municipalities will see lower adjustments while others will face steeper hikes.

Residents in Cape Town will experience one of the lowest increases in the country at 7.5%.

Customers who buy electricity directly from Eskom have already been affected by tariff adjustments, with Eskom’s average 8.76% increase taking effect on 1 April.

Approved Municipal Electricity Increases

Why Electricity Prices Are Increasing

The tariff adjustments are intended to help municipalities and electricity distributors recover the increasing costs associated with generating, purchasing and supplying electricity.

Municipal tariff increases traditionally take effect three months after Eskom’s direct customer increases because municipal financial years begin in July.

This staggered implementation helps municipalities align their budgets and recover revenue over the financial year.

What Consumers Need to Know

The latest increases are expected to place additional pressure on household and business budgets already facing rising costs across multiple sectors.

The exact impact will depend on electricity usage, tariff structures and the municipality supplying the service.

Residents are encouraged to check their municipality’s final approved tariff schedules for a detailed breakdown of charges that will apply from 1 July.

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