Following the recent IDP and Budget roadshows, Mogale City has submitted its formal electricity tariff application to the National Energy Regulator of South Africa (NERSA) on 20 April 2026. Residents and businesses are invited to submit comments on the application via email to idp@mogalecity.gov.za or tshepo.menyatso@mogalecity.gov.za by 10 May 2026.
What is being proposed
During the roadshows, the municipality presented the following proposed changes:
- The discontinuation of the Inclined Block Tariff (IBT) structure and its replacement with a single tariff rate (c/kWh), initially based on the second block of the IBT structure.
- The introduction of two additional charges:
- Generator Capacity Charge
- Legacy Charge
- A proposed 12.20% increase on the existing electricity tariff
Response to public input
The municipality acknowledges and appreciates the valuable input received from residents during the consultation process. After careful consideration of these comments, the municipality has revised its proposals as follows:
- The transition away from the IBT structure will proceed; however, the revised tariff will now be calculated based on the first block of the IBT structure, making it more affordable for consumers.
- The implementation of the Generator Capacity Charge and Legacy Charge has been suspended for the 2026/2027 financial year, pending further analysis to determine the most appropriate approach.
Financial context
These decisions were made in recognition of the municipality’s financial sustainability challenges, while also considering the broader cost drivers of electricity supply. It is important to note that electricity tariffs are not solely determined by the cost of bulk purchases from Eskom but also include operational and infrastructure-related costs necessary to ensure reliable service delivery.
Access to the application
Residents and businesses are hereby informed that the approval of electricity tariffs is not determined by municipality but is subject to NERSA regulatory processes. Any proposed adjustments or increases in electricity tariffs will only be implemented once they have been formally reviewed and approved by NERSA. The municipality therefore requests residents and businesses to take note that tariff changes implementation is dependent solely on NERSA’s approval.
The full tariff application is available on the NERSA website and we encourage residents and businesses to review the application and submit their comments within the stipulated timeframe.
We thank all Mogale residents, businesses and stakeholders who participated in the roadshows, your input has helped shape a more balanced and responsive tariff proposal.
Tariffs sample