Skip to main content

THE EEC ARE INCREASING ELECTRICITY TARIFFS BY 8.02% FROM APRIL 2024

 

Eswatini Electricity Company (EEC) logo


Written by Fundizwi Sikhondze

Eswatini's power utility public enterprise the Eswatini Electricity Company (EEC) has recently announced that it was going to effect a 8.02% increase in electricity tariffs ,a second increase since the Eswatini Energy Regulator Authority (ESERA),through a February 2023 Tariff Order, approved a multi year tariff increase in electricity. The EEC ,according to the 2023 tariff order, had applied to have a tariff increase of 21.4% for each year of 2023/24 and 2004/25. 

When the ESERA conducted stakeholders around the four regions of Eswatini the tariff increase application was roundly rejected by various stakeholders with reasons such as unaffordability of electricity, high rates of unemployment and increased cost of business.

In February 2023 however the ESERA granted the EEC tariff increases for the two years they had requested albeit giving them less than half of what they had applied for in the 10.4% and 8.02% respectively that was eventually granted. In April 2023 the EEC effected 10.14% tariff increase and in April 2024 they will effect the 8.02% tariff increases for the year 2024/25, starting from 1st April 2024.

The increase in the electricity tariffs by a further 8.02% may effectively mean that the cost of each Kilowatt hour (kWh) or unit of electricity will be E2.3266.00 (Two Emalangeni ,thirty two cents..) and in simpler calculations ,E50.00 worth of electricity will give 21.49 units and E100.00 will now buy 42.98 kwh or units. For small businesses the new tariff will be E2.7617.

These increase in the cost of a critical utility such as electricity at a rate, that is well beyond the average increase of wages which hovered around 4% in the 2023/24 financial year, is certainly going to lead to increased expenditure and will likely eat deeply into workers savings and thus inflame the household debt that has been a concern for workers and policy makers alike. Businesses are also likely to hike prices for goods to mitigate the effect of the electricity increase on their profits thus making goods workers consume on a daily basis more expensive.

Comments

Post a Comment

Popular posts from this blog

SIKELELA NGWENYA MAKES A COMEBACK AS PRESIDENT OF NAWUSHI

Sikelela Ngwenya makes a comeback as President of NAWUSHI  Picture: Newly elected President of NAWUSHI Comrade Sikelela Ngwenya (Picture courtesy of Comrade Sikelela on Facebook) Written by Fundizwi Sikhondze Comrade Sikelela Ngwenya has made a comeback as the president of the National Workers Union in Swaziland Higher Institutions (NAWUSHI). This after getting elected to the position at their 1st quadrennial conference that took place at eSibayeni lodge in Matsapha on the 24th and 25th March 2022. To win the position comrade Sikelela beat off a stiff challenge  from Comrade Simon Dlamini from the Sebenta National Institute branch of NAWUSHI.  Comrade Sikelela is one of two  leaders of the previous NEC that were re-elected into the new NEC in the conference. The other NEC member that made it back is comrade Mpendulo Mkhonta  and he retained the position of Vice Treasurer. It is worth noting that Comrade Sikelela had previously served in the same position of...
1 comment
Read more

70 individuals appointed into Emabandla at a high cost to the fiscus

  Eswatini Attorney General Sifiso Khumalo (online picture) King Mswati III the Head of State of Eswatini on Saturday issued a directive through the Attorney General Sifiso Khumalo appointing around 70 individuals into several national committees, also known as Emabandla. The appointments come more than a month after the term of office of the previous Emabandla’s term of office came to an end and their term in office was extended indefinitely by the King through a gazette issued by the Attorney General. The several Emabandla announced are as follows, Board of Trustees (7), the Minerals Management Board (7) , Ludzidzini Council (20), Civil Service Commission (5) , Liqoqo Council (20), the Land Management Board (5) and the Teaching Service Commission (5). The National Chief Defence Officer was also announced. The newly appointed Board of Trustees members are as follows: Neal Rikjernberg (Finance Minister and Chairperson), Princess Tiyandza, Chief Ndabankulu Simelane, Chief Mgwagw...
Post a Comment
Read more

The history of Swaziland Labour Law

1.    THE HISTRORY OF SWAZI LABOUR LAW – BY NATHI GUMEDE It is difficult to proceed with issues of individual and collective Swazi Labour law without outlining the key events in the history of the Swazi Labour Movement. Though by no means comprehensive and very accurate, here are some events that have shaped Swazi Labour Law. 1937 – Wages Determining Proclamation 1947 – Trade Union Dispute Proclamation No 31 of 1942 1960 – F.C. Catchpole Commission on Labour Relations Socialization reports absence of trade unions 1962 – Pulp and Timber Worker’s Union established with Pan-Africanist influence as the first trade union; the union called the first strike the same year 1963 - Second Strike of the Pulp and Timber Worker’s Union spread into a National Strike (66,000 man hours). The National strike led to the formation of the Swaziland Democratic party and the Swaziland Progressive Party. The strike was thwarted by the First Battalion of Gordon Highlands from Ken...
Post a Comment
Read more