Electricity and Water Bills Hiked – From 10 July 2025, South Africans are facing a steep 18% increase in both electricity and water bills — a move that is already sending shockwaves across households nationwide. The hike, implemented by several municipalities in line with revised tariff structures, comes at a time when citizens are already grappling with high food costs, fuel prices, and a stagnating economy. For millions relying on social grants and fixed incomes, this utility spike could mean severe monthly budgeting challenges. The price adjustment, approved by the National Energy Regulator of South Africa (NERSA) and local water authorities, has been justified by authorities as necessary to maintain infrastructure, fund service delivery, and cover the rising operational costs driven by inflation and energy scarcity. However, the timing has sparked significant backlash, especially from low-income families and pensioners who claim this move further erodes their already stretched grants. With the new rates coming into effect, households are being urged to carefully reassess their consumption habits. Municipalities have also introduced different pricing brackets based on usage, which means that higher-consuming homes will pay proportionally more. Several consumer advocacy groups are now calling for a review of the decision, citing insufficient public consultation and lack of subsidy support for vulnerable families. Let’s take a detailed look at how this tariff increase impacts electricity and water users, how much more you’ll be paying starting this month, and what steps can be taken to manage the rising costs.
What Has Changed from 10 July 2025?
South African households have started receiving new bills with revised tariffs from 10 July. Both electricity and water charges have gone up by 18%, affecting all user categories.
- Electricity and water tariffs increased by 18%
- Revised rate structures now include stepped billing tiers
- Low-consumption households face smaller hikes, high-consumption ones pay more
- Applicable to metros like Johannesburg, Cape Town, Durban, Tshwane, and more
- SASSA recipients hit hardest as budget constraints tighten
- Utility relief schemes remain limited and highly selective
- Households advised to reduce usage to avoid high bills
Electricity and Water Bills Hiked After the July 2025 Tariff Hike
This table compares the old and new electricity rates by usage bracket.
| Usage (kWh/Month) | Old Rate (R) | New Rate (R) | Increase (R) | % Hike |
|---|---|---|---|---|
| 0–100 | 150 | 177 | 27 | 18% |
| 101–300 | 450 | 531 | 81 | 18% |
| 301–500 | 750 | 885 | 135 | 18% |
| 501–800 | 1,250 | 1,475 | 225 | 18% |
| 801–1000 | 1,600 | 1,888 | 288 | 18% |
| 1001–1200 | 2,000 | 2,360 | 360 | 18% |
| Above 1200 | 2,600 | 3,068 | 468 | 18% |
Water Tariffs for Households: How Much More Will You Pay?
Like electricity, water bills have also increased by 18%. The cost varies by consumption level and household size.
- The first 6 kL remain partially subsidized in some areas
- Stepped increases hit larger families harder
- Monthly usage beyond 20 kL sees steep surcharges
- Some metros removed free basic water for indigents
Monthly Water Charges Before and After July 2025 Hike
| Usage (kL/Month) | Old Charge (R) | New Charge (R) | Increase (R) | % Hike |
|---|---|---|---|---|
| 0–6 | 0 | 0 | 0 | 0% |
| 7–12 | 120 | 141.60 | 21.60 | 18% |
| 13–20 | 250 | 295 | 45 | 18% |
| 21–30 | 400 | 472 | 72 | 18% |
| 31–40 | 650 | 767 | 117 | 18% |
| 41–50 | 900 | 1,062 | 162 | 18% |
| 51+ | 1,200 | 1,416 | 216 | 18% |
Impact on SASSA Grant Recipients and Pensioners
With most social grants standing below R2,330, the tariff hike is slashing disposable incomes significantly.
- Disability and pension grants are largely consumed by rent and utilities
- Utility cost rise cuts into food and medication budgets
- Elderly grant recipients may face arrears if usage is not reduced
- No automatic top-up of grants to offset rising utilities
- Many pensioners will now spend 30–40% of their grant on electricity and water
Regional Comparison: Tariff Hikes by City
Different municipalities have varying base rates and stepped tariffs. Here’s how key cities compare.
| City | Electricity % Hike | Water % Hike | Notes |
|---|---|---|---|
| Johannesburg | 18% | 18% | Highest average residential rates |
| Cape Town | 17% | 16.8% | Maintained free basic block |
| Durban | 18% | 17.5% | Steep increase for high usage |
| Tshwane | 18% | 18% | Aligned with NERSA standards |
| Ekurhuleni | 17.9% | 17.7% | Added surcharge for sewerage |
| Gqeberha | 18% | 18% | Uniform rate increase across slabs |
| Bloemfontein | 17.5% | 17.5% | Some pensioner exemptions apply |
Household Budget Adjustments Now Necessary
With electricity and water bills taking up a larger portion of household income, South Africans are being forced to reassess their monthly spending.
- Cut back on unnecessary appliance usage
- Switch to energy-efficient lighting and water-saving taps
- Reduce evening heating and geyser times
- Track meter readings weekly to avoid shock bills
- Check for leaks and running toilets which add to hidden usage
Eskom’s Role and NERSA Justification for the 18% Increase
Eskom, South Africa’s main electricity supplier, has cited operating deficits, load-shedding maintenance, and rising coal and diesel costs as major drivers of the tariff hike. NERSA, meanwhile, claims the increase is needed to keep the grid functional and reduce debt.
- Eskom’s 2025 operational cost exceeds R400 billion
- Rising interest rates affecting its debt repayment capacity
- Infrastructure breakdown due to deferred maintenance
- NERSA approved 18% hike after public hearings, but critics say it was rubber-stamped
- Municipal mark-ups added to Eskom’s base rate inflating the final bill
Can Households Apply for Rebates or Exemptions?
Municipalities provide limited rebates or indigent support, but these are usually hard to access and require extensive documentation.
- Apply at your local municipal office for the indigent support program
- Submit proof of income, household size, and residency
- Rebates typically cover a basic water block and a partial electricity subsidy
- Rebate approval can take 3–6 weeks
- Not all areas offer support programs; depends on municipal policy
Impact on Renters and Landlords: What You Need to Know
For tenants living in rented accommodation, especially in shared units, split billing and unfair surcharges have become common complaints.
- Many landlords pass inflated utility bills without breakdowns
- Some lease agreements don’t cap utility charges
- Renters should demand monthly utility statements with detailed usage
- Report landlords overcharging for communal water/electricity to local housing tribunal
- Consider prepaid meters where possible for direct consumption control
Energy-Saving Technologies and DIY Measures to Cut Your Bill
Homeowners and tenants can invest in simple tools or change habits to lower their bills amid the hikes.
- Install low-flow showerheads and faucet aerators
- Use geyser blankets and set temperature below 60°C
- Unplug devices when not in use to stop phantom loads
- Wash clothes in cold water and only full loads
- Consider solar panels or battery backups if affordable
The July 2025 tariff hike has drastically altered the financial outlook for millions of South Africans, particularly vulnerable families, pensioners, and low-income earners. While the government and utility bodies argue the necessity of this increase, the immediate impact on households is undeniable. Until broader reforms or meaningful relief measures are implemented, households must resort to strict consumption control, budget discipline, and urgent demand for more equitable support.
FAQs on July 2025 Electricity and Water Tariff Hike
1. When did the new tariff increase start?
The new 18% hike came into effect on 10 July 2025.
2. Who approved the electricity and water tariff hikes?
NERSA approved the electricity hike; municipalities handled water increases.
3. Does this affect prepaid meter users too?
Yes, prepaid users are charged the new rates per unit from July 2025.
4. Can low-income families apply for any subsidy or rebate?
Yes, but only in select municipalities and with strict eligibility checks.
5. How can households reduce their utility bills now?
By cutting back on consumption, using efficient appliances, and fixing leaks.