SHH ON ELECTRICITY HIKE PROPOSAL FOR NOW - MINISTER

LOBAMBA – Minister of Natural Resources and Energy Prince Lonkhokhela pleaded with MPs not to deliberate on the issue of the proposed electricity hike, because it is still subject for debate in Parliament.

Prior to presenting the ministry’s preamble to the Members of Parliament (MPs) yesterday, the minister highlighted that he had a request to make to the MPs concerning the matter.
He then requested that the MPs avoid deliberating on the issue, because it is yet to be discussed through consultations with the populace and also be deliberated upon in Parliament, before a final stand on the issue is taken.

The minister revealed that the regulator, which is Eswatini Energy Regulatory Authority (ESERA), is mandated by Section 5 (1) (f) of the Energy Regulatory Act of 2007, which stipulates that the functions of the authority under this Act, the Electricity Act or other energy laws, are to regulate and approve tariffs, prices and charges and terms and conditions of services provided by licensed entities, according to the requirements and terms established in their licences.

Consultations

The minister said ESERA had requested to do consultations with businesses and the populace on the issue and it is premature to talk about it. “This is a very big and sensitive matter that is still at its infancy stage and deliberating about it now is very premature. Let us wait until it comes back to the House for debate, having gone through the other stages, then we can deliberate on it,” he said. The minister also hinted that they wish to take the ministry’s portfolio committee on a workshop, so that they fully appreciate all the processes involved in electricity tariffs and what really informs the decisions.

Opposed

It should be mentioned that Prime Minister (PM) Russell Dlamini publicly opposed the proposed 25.51 per cent electricity tariff hike. EEC requested an average tariff increase of 25.51 and 27.06 per cent for 2025/26 and 2026/27, respectively. The PM expressed his concerns during his office’s portfolio committee debate on the second quarter performance report last week, highlighting that the proposed increase is unjustified, especially considering the current economic climate’s high inflation rates.

The MPs did not oppose the request of the minister, but highlighted suggestions and concerns on the issue. One in particular, was that ESERA was only reaching a small percentage of the entire population when conducting its consultations. Hhukwini MP Alec Lushaba said the regulator should extend its consultations schedule to reach the remote communities, not just the vicinity near the main towns. He said the consultations should be done extensive, so that every liSwati has input into the issue of the electricity tariffs.

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