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18 Days Left: Municipalities Race to Submit Electricity Tariff Hikes as Nersa Sets Deadline

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The clock is ticking for South African municipalities.

The National Energy Regulator of South Africa (Nersa) has announced new deadlines for municipalities to submit their electricity tariff applications for the 2026/27 financial year.

Municipalities have just 18 days to get their paperwork in.

The Deadline

“Nersa wishes to inform all licensed municipal electricity distributors, stakeholders, and members of the public of the timelines for the submission and approval of municipal electricity tariff applications,” the regulator said.

Key dates:

  • 31 March 2026: Deadline for municipalities to submit tariff applications, accompanied by cost-of-supply studies

  • 21 April 2026: Public consultation process concludes

  • 11 May 2026: Nersa finalises decisions

“These timelines will ensure that Nersa considers the municipal tariffs timeously and will enable municipalities to implement approved tariffs on 1 July 2026.”

The Warning

Nersa spokesperson Charles Hlabela warned that missing the deadlines could affect outcomes.

“Failure to meet the revised deadlines may affect the processing and approval of the municipal electricity tariff applications.”

Municipalities that need deviations may apply to court for reliefprovided good cause is shown.

The Context

The deadline follows Nersa’s approval of Eskom’s retail tariff and structural adjustment application, allowing for a 9.01% tariff increase for municipalities from 1 July 2026.

Eskom direct customers face an 8.8% increase from 1 April.

The Transparency Fight

Civil action organisation AfriForum is demanding answers.

The organisation has sent a letter to Nersa, demanding that the regulator disclose the full reasons for its decision on Eskom’s MYPD6 applications within five days.

Dalena Beyers, AfriForum’s advisor for local government affairs, said the regulator’s silence compromises transparency.

“Despite Nersa’s promises after the announcement of the revised increases that full details of the reasons for the decisions would be published, they have still not been released.”

It has been nearly two months since the regulator’s decision.

The Legal Background

In December, the High Court in Pretoria ruled in AfriForum’s favour, determining that a secret settlement between Eskom and Nersa took place without proper public participation.

Judge Jan Swanepoel argued that “decisions made in secret without public knowledge are anathema to the statutory framework and our constitutional norms.”

Following the ruling, Nersa issued a notice of a short public participation process. The settlement amount had ballooned from R54 billion to R76 billion. After the short consultation, Nersa approved R54.734 billion on 8 February 2026.

The Concern

Beyers said the regulator’s continued silence raises serious questions.

“This therefore raises serious questions about the transparency and rationality of the tariff determination process.”

“Electricity prices have a direct impact on households, businesses, and the broader economy. Therefore, decisions on Eskom’s allowable revenue should be fully motivated and traceable and made available without delay.”

The Bottom Line

Municipalities have 18 days to submit. Nersa has promised public consultation. AfriForum is demanding transparency.

The tariffs are coming. The question is whether the process will be openor whether decisions made in secret will once again determine what South Africans pay for power.

{Source: Mybroadband}

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