BY MBONO MDLULI
MBABANE– Government has approved an intervention fund of E200 million aimed at cushioning consumers against rising electricity costs.
Prime Minister Russell Mmiso Dlamini confirmed that the funding will be channelled through the Eswatini Energy Regulatory Authority (ESERA) to help moderate the impact of the recently announced tariff increase.
The intervention will be spread over two years, with E100 million allocated for 2026 and another E100 million set aside for 2027.
According to the Prime Minister, ESERA will work together with the Eswatini Electricity Company (EEC) to determine how the funds can best be utilised to support electricity consumers across the country.
The move comes after ESERA earlier announced a 13.61 per cent electricity tariff increase, which raised concerns among households and businesses already facing economic pressures.
However, Dlamini clarified that the current announced increase remains unchanged for now. The regulatory authority and the power utility will first assess how the E200 million intervention can be applied before determining whether adjustments to the tariff increase can be made.
He explained that the collaboration between ESERA and EEC will focus on evaluating possible mechanisms to soften the impact of the hike while ensuring the sustainability of electricity supply in the country.
“The regulatory authority, working with EEC, will assess how the E200 million can be utilised as an intervention to address the electricity tariff increase,” said the Prime Minister.
The assessment will determine whether the financial support could help reduce the effective increase or cushion certain consumer groups.
Government’s intervention reflects ongoing efforts to balance the financial sustainability of the energy sector with the need to protect consumers from steep price adjustments.
Electricity tariffs are periodically reviewed by ESERA to reflect operational costs, infrastructure investment and regional energy market conditions.
Officials believe that the intervention fund could play a key role in easing the burden on consumers while maintaining the stability of the country’s electricity supply system.
Further details on how the intervention will be implemented are expected once ESERA and EEC complete their technical assessment of the funding and its potential impact on the approved tariff structure.
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