Eskom electricity tariff—categories and rates (2023/24, c/kWh)

Key Takeaways

  • Landlight tariffs (20A and 60A), offered primarily in rural areas, are Eskom’s highest tariff rates and are exclusive to direct (non-local authority) customers.
  • The Homelight 20A Block 1 tariff, which applies to consumption between 0–350 kWh, is the lowest among Eskom’s tariffs.
  • Landlight tariffs carry higher rates because they exclude other fixed charges such as: Ancillary service charge (c/kWh), Network demand charge (c/kWh), Network capacity charge (R/POD/day), and Service charge (R/POD/day). This structure makes Landlight more suitable for rural or low-income areas, where simplifying cost recovery is necessary.
  • Eskom classifies its tariffs into the following categories:
    • Residential Tariffs (for household electricity supply): Homelight 20A, Homelight 60A, Homepower, and Homeflex
    • Urban Tariffs (for large industrial and commercial users): Megaflex, Miniflex, Nightsave Urban (Large and Small), Business Rate, Public Lighting, Transflex (rail), and Gen-Wheeling/Offset tariffs
    • Rural Tariffs (for agricultural, business, and residential customers in rural areas): Ruraflex, Nightsave Rural, Landrate, and Landlight
    • Municipal Tariffs (for municipalities purchasing in bulk and for municipal services like water pumps or offices): Municrate, Municflex, and Public Lighting.
  • Customers with rooftop solar PV systems are required to be on the Homeflex tariff plan, which is based on Time-of-Use (ToU) pricing.
  • Several Eskom tariffs are Time-of-Use-based, where charges vary depending on peak, standard, and off-peak periods. These include: Nightsave Urban Large, Nightsave Urban Small, Megaflex, Miniflex, Homeflex, Nightsave Rural, Ruraflex, and Ruraflex Gen

Over the years, Eskom has developed a range of tariff structures to cater to the diverse needs of its customers across South Africa. In the 2023/24 tariff year, Landlight tariffs, specifically the 60A and 20A variants, remain the highest charged rates, standing at 685.48 c/kWh and 531.74 c/kWh respectively. These tariffs are exclusive to direct (non-local authority) customers and are predominantly applied in rural areas where Eskom supplies electricity directly to end-users, without municipal intermediaries.

At the other end of the spectrum, the Homelight 20A Block 1 tariff, applicable to households consuming between 0–350 kWh, is the lowest, at 168.78 c/kWh. This affordability makes it ideal for lower-income or low-usage households, reinforcing Eskom's attempt to maintain accessibility in basic electricity consumption.

The high cost of the Landlight tariffs is compensated by the absence of several fixed charges typically included in other Eskom tariffs.

Source:

Eskom

Period:

2023/24
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