By Sizwe Dlamini
Consumer groups have joined the public in opposing the imminent electricity tariff hike, pointing out that the Prime Minister of Eswatini has already rejected it.
This comes after the Eswatini Energy Regulatory Authority (ESERA) approved an electricity tariff increase of 14.67% for the 2025/26 financial year and 10.91% for 2026/27.
These increases are lower than the 25.51% and 27.06% tariff hikes initially requested by the Eswatini Electricity Company (EEC).
The approved hike was announced by ESERA Chief Executive Officer (CEO), Sikhumbuzo Tsabedze, at a press conference held at the Mountain View Hotel in Mbabane.
EEC had initially applied for a revenue requirement of E4.22 billion for 2025/26 and E4.57 billion for 2026/27. However, after identifying errors in the application, ESERA revised the figures to E4.46 billion and E4.85 billion, respectively.
Despite these revisions, the regulator only approved a revenue allocation of E3.46 billion for 2025/26 and E3.68 billion for 2026/27. The new tariffs will take effect on April 1, 2025, and April 1, 2026, respectively.
During the press conference, Tsabedze mentioned that public attendance at the outreach meetings was possibly the highest they had ever seen as an organization.
Speaking to this publication after the aforementioned announcement, Mandla Ntjakala, chairman of the Eswatini Consumer Forum, stated that even the Prime Minister of Eswatini, Russell Dlamini, is opposed to the tariff hike.
“On the 16th of November 2024, Prime Minister Russell Dlamini, the head of government, rejected the tariff hike in unison with the rest of the public. My question is, are we undermining his authority?” Ntjakala said.
He further explained that during a meeting with ESERA at the George Hotel in November, it was clear that the public was against the hike. He also criticized EEC’s argument for the increase, asking why they were looking to source investment funds from the public instead of acquiring loans for new projects.
“If they want to invest in new projects, why do they want to first source the investment funds from us the people instead of acquiring loans from elsewhere?” he asked.
Ntjakala expressed shock at the tariff hike, pointing out that the cost of living in Eswatini is already too high.
“Looking at the poverty level in Eswatini, you can see that our survival as humans is slim. Basic commodities like food, health, education, and water are already very expensive, and we are suffering. Looking at EEC’s tariff hike history, you can see that the increases over the past five years or so have gone well beyond 50%,” he concluded.
Following Ntjakala’s comments, Bhanyaza Mduli, chairman of the Eswatini Consumer Association (ECA), also stated that they as an association believe that the increases are unwarranted.
“The hikes are not warranted at all, especially now when the country is struggling economically. In all of the public engagements, the public disapproved of the hikes. These hikes will result in many retrenchments, as companies will be forced to cut expenditures. Electricity is supposed to be a basic need, not a luxury, and in Eswatini electricity will become a luxury,” Mduli said.
In addition to the concerns raised by the consumer groups, Minister of Natural Resources and Energy Prince Lonkhokhela has mentioned to the media that he met with the ESERA team, led by the CEO, to discuss the granted tariff hike for EEC. He said the CEO explained the rationale behind the approved increases of 14.67% for this year and 10.91% for 2026.
“He explained how they arrived at the figures, and I was taken aback by the granted percentage and questioned how the nation will survive,” the Minister remarked.
EEC was reached for comment, but no response was received by the time of this article’s compilation.