Residents across South Africa could soon see major changes in how municipal electricity price increases are decided. This follows a recent Gauteng High Court ruling that found the National Energy Regulator of South Africa (Nersa) acted unconstitutionally when approving municipal electricity tariff hikes without proper transparency or public participation.

The court highlighted that cost-of-supply studies, which help determine how much municipalities should charge consumers, were kept confidential and not shared for public scrutiny. This decision came after a legal challenge by AfriForum, and municipalities will now be required to follow stricter timelines and give the public a fair chance to engage before any future tariff increases are approved.