South Africans are heading into another electricity price increase, with new tariffs kicking in from 1 April 2026 for Eskom direct customers. Municipal customers are also expected to feel the impact from 1 July 2026 when local increases are passed on. According to reports, Eskom customers will see an average 8.76% increase, while municipal tariffs are expected to rise by about 9.01%.

It is reported that these increases followed corrections to earlier calculations that added around R54.7 billion to Eskom’s revenue requirement. That figure has now become a major flashpoint in the debate over whether households are paying more than they should.

DA Raises Alarm Over ‘Phantom Costs’

Democratic Alliance electricity spokesperson Kelvin Mileham has accused NERSA and Eskom of building what he called “phantom costs” into electricity tariffs. In a video posted on 23 March 2026, Mileham claimed consumers may have been burdened with as much as R107 billion in charges that do not reflect the real cost of supplying power.

He described the tariff-setting process as a “price heist” and called for an independent audit of NERSA’s calculations. Mileham also urged the immediate dismissal of the regulator’s board, arguing that stronger action is needed to protect households already under financial strain.

Eskom Says Increases Support the Grid

Eskom, however, maintains that the tariff hike is aimed at supporting a reliable power supply and the utility’s long-term sustainability. The report says Eskom argued that the revenue adjustments reflect the costs of generating, transmitting and distributing electricity, while also allowing for investment in critical infrastructure. It also said consumer affordability was considered in the proposal.

That defence is unlikely to calm frustration among South Africans already battling higher living costs. For many families, another jump in electricity prices means even tighter monthly budgets.

Fresh Scrutiny After Court Ruling

The pressure on Eskom comes as the Supreme Court of Appeal ordered the power utility to release its coal and diesel contracts to AfriForum, dismissing Eskom’s bid to keep them secret. The development adds fresh scrutiny to how electricity costs are calculated and justified.

With tariff increases now locked in, the fight over transparency, accountability and affordability is only getting louder.