Energy Minister Kgosientsho Ramokgopa has confirmed that he received an explanation from the National Energy Regulator of South Africa (Nersa) regarding the R54 billion error in calculating Eskom’s electricity tariffs for the 2025/26 financial year.

The energy regulator has since made a public apology about the mistake, describing it as regrettable and that it should not have happened. The DA has referred the matter to the Public Protector.

Ramokgopa says he will wait for a report from Nersa before deciding on any further steps.

“Nersa was able to provide a full account of what led to the error and also indicated that to the committee that the necessary consequence management is also being effected. I will also wait for the report and determine if there is an additional step to be taken by the minister in as far as it involves either the members of the board or the executive. So, I really want to give an assurance to the house.”

Ramokgopa says the department is currently developing a plan that will address surging electricity costs.

Nersa is responsible for determining the electricity tariffs that Eskom charges.

The minister says he is on record lamenting the increase of electricity costs in the country.

He says he will be announcing a new plan soon on how the impact of the electricity fees can be mitigated.

“I am on record having admitted that the costs of electricity are high and undermines the competitiveness of the economy and it erodes the disposal income of households. I will come back to the committee and also to the country to announce the measures that we are going to be taking to address the runaway costs of electricity.”