Rising electricity bills burden South African households and businesses, admits Ramokgopa

Minister of Electricity and Energy Kgosientsho Ramokgopa has admitted that rising electricity prices are putting a significant strain on households and businesses across South Africa.

During a parliamentary session, he responded to a question from African National Congress (ANC) MP Fasiha Hassan, who asked what steps the government is taking to reduce electricity costs and address energy poverty. Hassan also requested information on the specific actions and policies being developed to protect vulnerable households in light of recent tariff increases.

Ramokgopa said the government is taking a range of measures to address rising electricity costs and energy poverty.

"The Department of Electricity and Energy acknowledges that the rising cost of electricity presents a serious challenge to households, businesses, and the broader economy," he said.

"The Department remains committed to ensuring that the price of electricity is affordable, reflective of the real cost of supply, and consistent with the objective of achieving energy security and inclusive growth. In responding to this challenge, the Department has developed a range of policy and structural measures aimed at stabilising and, over time, reducing the cost trajectory of electricity."

He outlined that some of the measures the government is implementing include improving Eskom’s operational efficiency, expanding procurement from independent power producers, and promoting competition in the electricity sector.

He said the government was also working to reduce municipal inefficiencies and non-payment through Distribution Agency Agreements, while expanding support for low-income households via Free Basic Electricity and the Universal Access Programme.

"In addition, the Department will commence a review of the National Energy Efficiency Programme, which focuses on promoting the efficient use of energy across households, public facilities, and industry."

"The programme aims to lower energy demand, reduce costs for consumers, and encourage the use of energy-efficient appliances and technologies. Through these initiatives, the Department seeks to strengthen affordability, reduce household energy burdens, and promote responsible energy use."

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