The waiver applies to customer-owned generation systems of up to 50kVA connected directly to Eskom's distribution network. It was originally set to expire on 30 September 2026 but has now been extended "until further notice" following sustained pressure from the Organisation Undoing Tax Abuse and the public .
The Solar Registration U-Turn
Eskom had previously taken a hardline stance, threatening fines of up to R30,000 for customers who failed to register their grid-connected solar systems. The utility also required costly sign-off from professional engineers registered with the Engineering Council of South Africa—a requirement that has since been dropped. Eskom now accepts a standard Certificate of Compliance issued by a qualified installation electrician registered with the Department of Employment and Labour .
The waiver removes registration-related charges, but Eskom insists the underlying regulatory requirement to register remains in place. "Registration is a standard feature of modern electricity systems as countries integrate increasing levels of customer-owned generation into their networks," said Junaid Munshi, Eskom Group Executive for Distribution .
Registration gives the utility installation-specific information needed for network planning, voltage management, equipment protection, fault analysis and the safety of employees working on the grid. Eskom's review of 20 international electricity markets found that registration or approval of customer-owned generation is standard practice worldwide .
OUTA Presses for Clarity
While OUTA welcomed the indefinite extension, it argues that the fundamental question remains unanswered: why must a household register a safe, compliant solar system that sits behind its meter and does not export power into the network?
OUTA CEO Wayne Duvenage said the fees and meter upgrade costs may have been taken off the table for now, but the bigger question remains. "Eskom should clearly explain the legal basis for the registration requirement and what practical problem it solves," he said .
OUTA draws a firm line between self-consumption and export. Where customers wish to feed surplus electricity back into the grid, prior approval, a connection agreement and bidirectional metering are necessary. But for non-exporting systems, OUTA argues that a valid Certificate of Compliance is the appropriate mechanism to confirm safety .
The Proposed Tariff Increase
While solar users celebrate the fee waiver, Eskom is seeking approval from the National Energy Regulator of South Africa for an average tariff increase of 8.83% for the 2027/28 financial year, taking effect on 1 April 2027. Municipal bulk purchases would rise by 8.84% from July 2027 .
The increase is part of Eskom's Retail Tariff Structural Adjustment application and implements the third year of its Multi-Year Price Determination. Eskom originally applied for a 6.2% increase, but a NERSA calculation error forced a revision, resulting in the 8.8% proposal .
The proposed increase also includes adjustments to fixed service charges. Under NERSA's Retail Tariff Plan, the Homepower and Homeflex fixed service charges will grow to 100% of the original FY2025 amount proposed in the RTP. To keep the overall average increase at 8.83%, the energy rates for these tariffs have been reduced .
Pushback from Civil Society
Civil society and civic organisations are pushing back against the proposed increase, warning that another rise in the cost of power could deepen pressure on households and small businesses already battling soaring living costs.
The Better Governance Initiative, which has launched a petition opposing the increase, said electricity was consuming an increasingly large share of household and business budgets. "Residents simply cannot afford a further increase in the price of electricity," said BGI Founder and Director Sabelo Chalufu .
AfriForum questioned the increase amid declining electricity sales and Eskom's multibillion-rand profit. "Electricity sales fell by 6.2%, yet its revenue increased because of ridiculously high tariffs. Now Eskom wants to raise tariffs above inflation—again," said Local Government Affairs Manager Morné Mostert. He warned that higher tariffs could push more households and businesses towards solar and other forms of self-generation .
ActionSA Gauteng raised concerns about the structure of the increase, noting that lower-consumption households could face a larger effective increase than heavier users. A Homepower 4 household using 350kWh could face an 11.02% increase, compared with 7.32% for one using 1,500kWh .
A Troubling Long-Term Trajectory
The proposed increase comes on top of years of steep tariff hikes. Since 2008, South African electricity prices have risen by more than 900%, while inflation over the same period was 230%. Eskom's own data shows electricity sales fell by 6.2% while revenue increased by 4.1%—reflecting how tariff increases have become the utility's primary means of closing revenue gaps .
Eskom has said it is committed to ending double-digit tariff increases, but its own projections show average annual increases of 6% between 2029 and 2050—still well above the Reserve Bank's 3% inflation target .
What Happens Next
NERSA has called for written comments on the tariff application by 4pm on 2 October 2026, with a virtual public hearing scheduled for 8 October. Stakeholders wanting to attend or make presentations must submit requests by 4.30pm on 2 October .
For solar users, the indefinite fee waiver provides breathing room, but the registration requirement remains. For everyone connected to the grid, the prospect of another above-inflation increase looms—and with it, the question of how much more South African households and businesses can bear.
With reporting from Eskom, OUTA, NERSA, AfriForum, ActionSA Gauteng, BusinessTech and MyBroadband.
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