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Increase for tariff by 14.12% announced by ESERA

Sebenzile Bhembe by Sebenzile Bhembe
February 3, 2025
in Business, Community News, Local News, Travel News
Reading Time: 2 mins read
0

ESERA CEO Skhumbuzo Tsabedze announcing new Tariff

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Mbabane – Eswatini Energy Regulatory Authority (ESERA), Chief Executive Sikhumbuzo Tsabedze has announced an increase of 14.12 per cent for domestic users and 14 percent for businesses.

The announcement was made today during press conference at Mountain view, the CEO Sikhumbuzo Tsabedze gave an overview of what the 14.12 per cent increase meant for everyone, he stated that with “domestic customers, E100 in year 2025/ 26 would enable a customer to get 38 units (levy included) and in year 2026/ 27 customer would get 33 units. However, with Lifeline customers, current year with E100 a customer gets 72 units, then year 2025 / 26, E100 enables customer to get 67 units and in year 2026/ 27 with E100 a customer gets 62 units. Then with Small Commercial customers (spaza, churches) year 2025 /26 with E100 a customer gets 32 units with levy inclusive and facility charges E189, 51 per month and the following year 2026/ 27, with E100 a customer would get 28 units with facility charges of E208 per month.   

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This was approved after tariff application from Eswatini Electricity Company was sent for review to Eswatini Energy Regulatory Authority (ESERA), it was reviewed in terms of the provisions of the Energy Regulatory Act, 2007, Tariff Methodology, 2011 and other relevant regulatory tools. In its application the EEC was requesting a revenue requirement of E4 219 416 214 for the   financial year 2025/26 and E4 570 140 772 for the financial year 2026/27. This translates to an average tariff increase of 25.51 per cent for the financial year 2025/ 26 and 27. 06 per cent for the financial year 2026 /27, excluding the Rural Electrification Access Fund levy and VAT.  

According to the CEO, Tsabedze the Authority is very much committed to ensuring a fair and transparent process and the tariff adjustment for 2025 /26 will become effective on the 1st April and the adjustment for 2026/ 27 will be effective on the 1st of April 2026. These adjustments exclude any taxes and levies enacted or substantially enacted as at the date of approved. In coming up with the tariff decisions, the Authority had to consider certain things sure as stakeholders’ comments and inputs submitted during the extensive engagements h eld around the country. By also looking at power import escalation rates, particularly the NERSA approved Eskom tariff increase of 12.74 per cent, detailed technical and economic analysis were also but into consideration.  

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Sebenzile Bhembe

Sebenzile Bhembe

Sebenzile Bhembe writes for Independent News Eswatini, covering lifestyle, arts, culture, and entertainment. With a keen eye for human interest stories and local talent, she brings Eswatini’s vibrant creative scene to life through compelling storytelling and in-depth reporting.

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