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South African households and businesses are set to face yet another squeeze on their wallets, with a 12% increase in electricity tariffs confirmed for April 2026. While the decision is aimed at stabilising the power grid and ensuring reliable supply, it comes at a time when many are already struggling with the cost of living.
Why the Tariff Hike is Happening
Eskom has explained that the increase is driven by rising electricity generation costs, fluctuating fuel prices, and the need for urgent infrastructure upgrades. Officials say the hike is essential to maintain the country’s power supply and reduce the risk of load-shedding.
However, consumer advocacy groups have warned that the price hike will hit low-income and middle-class households the hardest, pushing many into tighter financial corners.
What It Means for Your Wallet
If your household currently pays around R2,000 a month for electricity, a 12% hike adds roughly R240 extra each month that’s almost R3,000 more over a year. For small businesses, the added operating costs could run into several thousand rands annually.
5 Proven Ways to Reduce Electricity Costs
- Switch to LED Lighting
LED bulbs use up to 80% less energy than traditional incandescent bulbs and last far longer, giving you double the value for your money. - Unplug Devices Not in Use
Electronics left on standby still consume electricity. Switch them off completely to cut unnecessary energy drain. - Invest in Energy-Efficient Appliances
Appliances with higher energy ratings may cost more upfront but save significantly on your monthly bills. - Use a Geyser Timer
Water heating is one of the biggest electricity costs in a home. A timer ensures the geyser only runs when needed. - Consider Solar Power
Even a small solar installation can reduce your reliance on the grid and lower your bills over time.
FAQs
Q1: When will the 12% electricity price hike take effect?
April 2026.
Q2: Why is Eskom increasing electricity tariffs?
To cover rising generation costs, fuel price fluctuations, and infrastructure upgrades.
Q3: Will this increase affect small businesses?
Yes. Operating costs for small businesses will rise, potentially by thousands of rands annually.
Q4: Can switching to solar help lower bills?
Yes, even a small solar setup can reduce your dependence on the grid.
Final Thoughts
The 12% tariff hike is unavoidable, but how much extra you actually pay depends on how wisely you manage your electricity usage. By making small, consistent changes like switching to LED lights, unplugging unused devices, and considering renewable energy you can soften the blow on your budget. While Eskom works on securing the country’s power future, it’s up to us to take control of our consumption.