MEDIA STATEMENT
TO ALL MEDIA/ NEWS EDITORS 18 AUGUST 2026
MINISTER OF ELECTRICITY AND ENERGY INVITES PUBLIC COMMENT ON THE DRAFT REVISED ELECTRICITY PRICING POLICY 2026
The Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa, will publish the revised Electricity Pricing Policy (EPP) on the 21st of August 2026 for public comment as part of Government’s ongoing programme to modernise South Africa’s electricity supply industry. The revised Policy seeks to establish a pricing framework that responds to the country’s evolving legislative, institutional and market environment as well as South Africa’s unique social conditions.
The revised Policy is Government’s overarching policy framework for electricity pricing and tariff design in South Africa. It provides the policy principles and strategic direction within which electricity prices and tariffs are determined, regulated and implemented.
The current Policy was approved in 2008. Since then, South Africa’s electricity sector has undergone significant structural, legislative and institutional developments. These include the introduction of private sector participation in electricity generation, the growth of distributed generation, increased customer choice, the development of arrangements for electricity trading and wheeling, and reforms arising from the Electricity Regulation Amendment Act, 2024.
The revision of the EPP is therefore necessary to ensure that Government’s electricity pricing policy remains fit for purpose and continues to provide clear policy direction as South Africa transforms to an increasingly competitive electricity market.
A POLICY FRAMEWORK FOR A CHANGING ELECTRICITY SECTOR
The revised Policy seeks to establish a coherent and sustainable framework for electricity pricing by balancing several important public policy objectives. These include the financial sustainability of the electricity supply industry, the efficient and prudent recovery of costs, affordability for consumers, economic competitiveness, transparency, non-discrimination and the protection of vulnerable and low-income households.
The Policy recognises that electricity pricing must support the continued provision of secure, affordable and reliable electricity services while creating an environment conducive to investment, innovation and competition.
Accordingly, the revised EPP provides policy direction on, among other matters:
the progressive implementation of cost-reflective electricity tariffs, subject to appropriate consumer protection and Government’s social and economic objectives;
the promotion of transparent, understandable and non-discriminatory tariff structures;
the appropriate treatment and allocation of costs associated with the generation, transmission, distribution and retail supply of electricity;
the development of pricing arrangements and charges required to support the evolving electricity market architecture;
wholesale electricity pricing arrangements, including the treatment of energy and capacity-related costs;
the development and application of transmission and distribution use-of-system charges;
improved transparency regarding the charges and components reflected in electricity bills;
the protection of vulnerable and low-income consumers through appropriate social support mechanisms, including Free Basic Electricity and lifeline tariff arrangements;
the appropriate treatment of cross-subsidies, where these are explicitly authorised or required in pursuit of legitimate public policy objectives;
negotiated pricing arrangements for distressed industries and alignment to national industrial growth strategy, where permitted in terms of applicable legislation and regulatory requirements; and
strengthened implementation, monitoring, accountability and institutional responsibilities.
PUBLIC PARTICIPATION
The Minister invites interested and affected persons and organisations to submit written comments on the revised Electricity Pricing Policy during the prescribed public consultation period.
The consultation process will provide electricity consumers, municipalities, organised labour, business, industry participants, civil society organisations, academic institutions and other interested stakeholders with an opportunity to review the revised Policy and submit representations.
All submissions received within the prescribed period will be duly considered in the finalisation of the Policy.
The Department encourages stakeholders to provide substantive and constructive comments, particularly on the practicality, clarity and anticipated implications of the proposed policy measures and their implementation.
CALL FOR WRITTEN COMMENTS
The revised Policy is published for public comment for a period of [30] days from the date of publication of the notice in the Government Gazette.
Interested and affected persons are invited to submit written comments by no later than [20 September 2026] through one of the following channels:
By post:
Private Bag X96
Pretoria 0001
By hand:
Matimba House
192 Visagie Street
Corner Paul Kruger Street Pretoria
By email:
The revised Policy may be accessed at [www.gpw.gov.za – Government Gazettes].
Following the conclusion of the public consultation process, the Department will consider the submissions received and finalise the Policy in accordance with the applicable Government policy-making and approval processes.
For media enquiries contact: Tsakane Khambane, Ministerial Spokesperson – 082 084 5566 or Makhosonke Buthelezi, DEE Head of Communication – 082 359 5584.
ENDS
ISSUED BY:
DEPARTMENT OF ELECTRICITY AND ENERGY OF THE REPUBLIC OF SOUTH AFRICA