Skip to main content

Eskom issues high risk of load shedding after 10 months of no power cuts

| News

On Friday (31st January 2025), the state-owned power utility, Eskom issued an alert for the high risk of load shedding following over ten months of uninterrupted power supply.

After more than 10 months of uninterrupted electricity supply due to the success of the Generation Recovery Plan, Eskom has issued an alert indicating a high risk of load shedding at short notice.

The announcement comes just a day after the energy provider reported a R17.83 billion profit in the six months to September 30, a very strong turnaround over the R55.02bn loss at the last year-end, due to better cash flows, higher tariffs and state debt relief, but liquidity remains a longer-term risk.

Profit before finance costs nearly doubled to R40.7bn, from R21.87bn at the end of the interim period last year, the utility, which this week celebrated more than 300 days without having to implement load shedding, said in its interim results.

Yesterday, The National Energy Regulator of South Africa’s (Nersa) announced it had also approved Eskom’s tariff increases.

Nersa’s downward adjustment of the over 36% tariff increase Eskom had applied for to accrue savings for the consumer of about R1 billion in the next three years came as cold comfort to business, consumer and civic organisations who felt the power utility had been allowed to squeeze them out of pocket.

Nersa Commissioner Thembani Bukula on Thursday said the decision was not taken lightly as Nersa recognised the challenges consumers faced and the importance of ensuring that electricity remained affordable, while securing Eskom’s financial sustainability.

Nersa granted Eskom tariffs increases, which amount to R384.6bn, translating to a percentage increase of 12.74% in the 2025/26 financial year.

For the 2026/27 financial year, Nersa approved revenues of R409.5bn, translating to a percentage increase of 5.36% and for the 2027/28 financial year, the approved revenues of R436.9bn, translating to a percentage increase of 6.19%.

“We also believe that with the 12.74% it will go a long way in balancing the interests of the consumer who are facing affordability issues but also at the same time, with the returns that we have allowed Eskom, to recover through the tariffs, we have done an exercise that gives us comfort that Eskom will be in a position to be sustainable financially and also be able to service its debt,” said acting full-time member for electricity, Nomfundo Maseti.

Pin It

Related Articles

By: Xolile Mtembu - IOL Numerous signs have been spotted at Woolworths stores calling for consumers to be respectful of the store's staff.
Massmart and Walmart have announced the first Africa-focused supplier Growth Summit which will be held in Johannesburg on 2 April 2025. The summit is modelled on similar highly successful events that Walmart has hosted, most recently in their Chile…
Food safety is an issue that has been of great concern in recent months in communities across South Africa.
By Annelene Dippenaar, Chief Business Officer, Shop2Shop Amid a food safety crisis in South Africa's informal sector, the government announced that all spaza shops need to be registered within the next 21 days, failing which, they will be shut down.
Boxer today listed on the Johannesburg Stock Exchange (JSE), marking a significant milestone in its 47-year journey and positioning it for future growth. This is the first listing of a soft discount retailer in South Africa and o…