City of Johannesburg residents will have to dig deeper into their pockets after City Power implemented electricity tariff increases averaging 8.63%.

The National Energy Regulator of South Africa (Nersa) approved an 8.76% tariff increase for Eskom for the 2026/ 27 financial year, resulting in an effective 9.01% increase in Eskom’s bulk electricity purchase costs for municipalities.

Despite this, City Power said it had limited its overall tariff adjustment to 8.63% to help cushion customers against rising electricity costs.

City Power spokesperson Isaac Mangena said the approved tariff adjustment followed a comprehensive tariff review guided by Nersa’s tariff methodology, the utility’s Cost of Supply Study, operational requirements, bulk electricity purchase costs, infrastructure maintenance needs and the long-term sustainability of the electricity network.

He added that the review also considered input from customers, stakeholders and communities through the City of Johannesburg’s Integrated Development Plan (IDP) consultation process, as well as other regulated public participation platforms, including the City of Johannesburg Council.

“This reflects the entity’s commitment to balancing the increasing costs associated with maintaining and operating a reliable electricity network while recognising the financial pressures facing households and businesses,” Mangena said in a statement.

He added that City Power’s approved average increase of 8.63% remains among the lowest of South Africa’s major metropolitan municipalities.

However, while the city’s overall average increase is 8.63%, most customers will see tariff increases of 9.01%, depending on their category.

The approved increases are as follows:

• Large power users: 9.01%
• Business SPU customers: 9.01%
• Agricultural customers: 9.01%
• Domestic customers: 9.01%, except Domestic 1Ø customers, whose tariffs will increase by 5.91%, and high prepaid domestic customers, who will see an increase of 8.71%
• Commercial and residential resellers: 9.01%

Registered indigent customers who qualify for the Expanded Social Package will continue to benefit from the Free Basic Electricity Programme.