Electricity price increase: Your 2025 guide

These new tariffs, recently approved by the National Energy Regulator of South Africa (NERSA), are landing right in the middle of winter. That means higher bills during the months when we rely on power the most for heating, hot water, and everything in between.

What’s behind the 2025 electricity tariff increase?

Every year, over 130 municipalities and local authorities must apply to NERSA for approval before increasing their electricity tariffs. While Eskom already implemented its increase in April, customers supplied by municipalities will feel the change from 1 July.

Here’s a look at what households in South Africa’s major metros can expect:

“To put things in perspective, the latest consumer inflation figure for May 2025 was 2.8%,” says Marc du Plessis, Executive Head of LookSee.

If it feels like your electricity bill keeps going up, you’re not imagining it. For over a decade, the price of electricity has risen faster than salaries, pensions, and inflation. That means a bigger chunk of your income is going toward keeping the lights on. And this year’s increase will hit especially hard in winter.

Electricity may be just one part of your municipal bill, but it’s the part that hurts the most. And cutting back often means sacrificing comfort.

How solar power can help you save – meaningfully 

With electricity price increases every year, many South Africans are turning to solar power – not just to keep the lights on during outages, but to bring their bills down.

The idea is simple. By using solar power during the day and battery storage at night, you rely less on the grid and use fewer expensive kilowatts. That means lower monthly electricity costs right away, and even bigger savings in the years ahead.

For many households, solar is no longer a luxury. Thanks to more affordable technology and smart finance options, it’s becoming a practical investment. Especially when you compare it to the rising price of electricity.

• See our range of home solar solutions

“You also don’t have to go all-in at once. Our solar geyser conversion uses advances in technology to address the shortcomings of traditional solar geysers and can cut your electricity use by up to 40%,” says Du Plessis. 

“For most households, these conversions pay for themselves from day one in savings on the electricity bill. And that’s after any loan repayments, meaning families can put extra cash back into their budget.”

That’s a meaningful saving, especially in winter, and a smart first step for households looking to reduce grid dependence over time.

LookSee: It’s all about your savings journey

Electricity price hikes have made many households eager to go solar, but also cautious. It’s a significant investment, and people want to know exactly how much they’re likely to save before committing, says Du Plessis.

“At LookSee, we understand that households need clarity and confidence upfront. That’s why we’ve invested in tools and expertise to calculate realistic savings, and we back these projections with South Africa’s first Savings Guarantee for residential hybrid solar installations.” 

This Savings Guarantee gives customers added peace of mind: If the system doesn’t deliver on the minimum savings promise established upfront, LookSee will pay the customer a R2 000 cashback – no strings attached.

• Start your Smart Save Journey

This promise is made possible by investments in developing advanced calculators and securing expert energy advisors to find the right solution to meet each family’s specific needs. 

Du Plessis adds: “We also invest in making sure the family is empowered to maximise their savings post-installation by providing access to smart inverter and battery optimisations software, a practical guide to living with solar and ongoing monitoring and support. To us, it’s essential that we walk this savings journey with our customers – the solutions are just the delivery mechanism.”