Eswatini Energy Regulatory Authority: 13.61% Electricity Tariff Hike for 2026/27

• The Eswatini Energy Regulatory Authority (ESERA) has approved an average electricity tariff increase of 13.61% for the 2026/27 financial year, effective April 1, 2026, following a previous proposal.
• The move is set against the backdrop of ongoing efforts to reform the energy sector in Eswatini, with implications for businesses and households relying on electricity.
• Lawyers advising clients on compliance with relevant regulations will need to carefully consider the potential impact of the approved tariff hike on their operations and financials.

The proposed tariff hike is set against the backdrop of ongoing efforts by the government to reform the energy sector in Eswatini.

The Eswatini Energy Regulatory Authority (ESERA) announced a proposed increase in electricity tariffs, following a similar move six months prior. The Eswatini Energy Regulatory Authority (ESERA) approved an average electricity tariff increase of 13.61% for the 2026/27 financial year, effective April 1, 2026, following a proposal for a higher adjustment. This development has significant implications for businesses and households relying on electricity in Eswatini.

The proposed tariff hike is set against the backdrop of ongoing efforts by the government to reform the energy sector in Eswatini. The Electricity Act 2007 and the Energy Regulatory Authority Act 2007 provide the statutory framework for ESERA's regulatory powers, including the authority to approve or reject tariff applications from electricity service providers. Lawyers advising clients on compliance with these regulations will need to carefully consider the potential impact of the approved tariff hike on their businesses' operations and financials.

The approved electricity tariff increase has far-reaching consequences for Eswatini's economy, particularly in the context of ongoing efforts to attract investment and stimulate growth. Businesses reliant on electricity will need to reassess their costs and operational strategies in light of the hike. Moreover, the move may have implications for poverty reduction initiatives, as increased energy costs could disproportionately affect low-income households. As ESERA continues to navigate the complex regulatory landscape, stakeholders must remain vigilant about compliance with relevant laws and regulations.

Lawyers should watch for potential compliance exposures and advise clients on the impact of the proposed tariff hike on their businesses.

Source: Original reporting via Eswatini Daily News