Minister Ramokgopa Acknowledges Soaring Electricity Prices Are Hurting Consumers
In a candid media briefing held in Johannesburg on Tuesday, Electricity Minister Kgosientso Ramokgopa openly acknowledged that the consistent rise in electricity tariffs is becoming unsustainable and unjust for South African consumers. Despite visible progress in reducing the frequency and severity of load shedding, the financial burden placed on households and industries through rising electricity prices remains a significant national concern.
Minister Ramokgopa stressed that ensuring more affordable electricity is one of his top priorities. “Electricity is very expensive,” he stated. “Poor households are having to choose between buying a loaf of bread or purchasing prepaid electricity units. This is not a sustainable or fair situation for our people.”
According to Minister Ramokgopa, electricity prices have surged by a staggering 180% over the past decade, a trend that is disproportionately impacting low-income families and small businesses. The minister pointed out that high electricity costs are not just a concern for domestic users, but also a growing problem for South African industries that rely heavily on electricity to function.
“We are getting to a situation where industries with electricity as a dominant input cost are becoming increasingly uncompetitive,” Ramokgopa said. He warned that if unchecked, this pricing trajectory could drive businesses to either close their doors or relocate operations outside of South Africa, exacerbating unemployment and economic instability.
The minister’s statements come at a time when many South Africans are still recovering from the economic toll of the COVID-19 pandemic, ongoing inflation, and rising costs of living. Electricity, being a non-negotiable necessity, has now become a source of financial strain for both households and enterprises.
Minister Ramokgopa: Balancing Reliability with Affordability
While load shedding has notably decreased in 2024 and 2025 due to increased generation capacity and improved grid management by Eskom, Minister Ramokgopa cautioned that these gains should not come at the cost of affordability.
“We are making headway in stabilizing the grid and ensuring more reliable power supply,” he noted. “But we cannot ignore that tariffs have continued to climb. Affordability and reliability must go hand in hand.”
The minister emphasized the need for a strategic approach that balances investment in infrastructure with protecting consumers from excessive price hikes. This, he said, would involve consultation with regulators, the private sector, and civil society.
Eskom, South Africa’s state-owned power utility, has long faced criticism for inefficiency, corruption, and inadequate maintenance of infrastructure. However, Minister Ramokgopa acknowledged recent improvements under new leadership, including better plant performance and stronger project oversight.
Still, Eskom has continued to apply for tariff increases to cover operational costs and debt servicing. The National Energy Regulator of South Africa (NERSA) has approved several hikes in recent years, leaving many South Africans questioning the fairness and sustainability of the current energy pricing model.
Ramokgopa argued that structural reform of Eskom and the broader electricity market is crucial. “We must reimagine the energy landscape in South Africa,” he said. “This includes exploring more cost-effective energy sources, improving efficiency, and expanding the role of independent power producers to create competitive pricing.”
As the country looks toward a more sustainable energy future, Minister Ramokgopa highlighted the importance of diversifying the energy mix, particularly by incorporating more renewable sources such as solar and wind. He reiterated that these alternatives, when scaled appropriately, could help drive down long-term electricity costs and create more stable supply chains.
“There’s an opportunity here not only to resolve our energy crisis but to do so in a way that benefits all South Africans,” he said. “We need innovative solutions that serve both our economy and our environment.”
One of the major takeaways from Minister Ramokgopa’s briefing was the importance of transparency and community engagement. He pledged to keep the public informed about future developments, tariff changes, and government interventions to mitigate the impact of rising electricity costs.
“We must build trust by communicating openly with our citizens. People need to understand the reasons behind policy decisions and feel heard in the process,” he said.
South Africa stands at a critical energy crossroads. With Eskom improving reliability but tariffs climbing steeply, Minister Ramokgopa is advocating for a future where electricity is not just available, but also affordable and sustainable. His remarks underscore the need for urgent reforms, smarter energy policy, and a renewed focus on protecting vulnerable communities from economic hardship.
As the nation awaits further updates, it is clear that Minister Ramokgopa will play a central role in shaping South Africa’s energy landscape—one that hopefully balances cost, access, and innovation for all.
Source- EWN
