Mbabane – The Eswatini Electricity Company (EEC) has applied for an average electricity tariff increase of 20.67% for the 2026/27 financial year, up from the previously approved 7%, citing higher import costs and past revenue shortfalls.
The application was submitted to the Eswatini Energy Regulatory Authority (ESERA), which confirmed that EEC is seeking an additional E437.88 million in revenue for 2026/27.
According to ESERA Chief Executive Officer Sikhumbuzo Tsabedze, the request is driven largely by the expiry and renegotiation of several power purchase agreements during the 2025/26 period. He said the renegotiated contracts, mainly with South Africa’s Eskom through the National Transmission Company of South Africa and Mozambique’s EDM, resulted in significantly higher import tariffs, increasing EEC’s cost of electricity supply.
Tsabedze said E175.07 million of the requested amount relates to import tariff escalations linked to these renegotiated agreements, including a sugar industry tariff adjustment. A further E262.82 million represents an under-recovery identified during the audited reconciliation for the 2024/25 financial year, which weakened EEC’s financial position.
He explained that if approved, the increase would take effect from April 1, 2026. Instead of implementing the planned average tariff increase of 7% for 2026/27, EEC is now proposing a total average increase of 20.67%.
Tsabedze said ESERA is mandated under the Electricity Act and the Tariff Methodology to review the application and announce a decision after completing a tariff review process. As part of this process, the authority will solicit input from the public and interested stakeholders before reaching a determination.
He added that members of the public and stakeholders are invited to submit written comments on the application by January 24, 2026. ESERA will also hold public hearings across the country to gather views on the proposed adjustment, with details of the hearings to be published and communicated in all regions.
The tariff adjustment application is available on the ESERA website and will also be shared on the authority’s social media platforms. Tsabedze encouraged electricity consumers to familiarise themselves with the application and participate in the consultation process.
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