Durban Residents Hit With Substantial Utility Hikes as eThekwini Municipality Tables Double-Digit Increases for 2026/2027 Budget

eThekwini Municipality proposes 15% water and 10.5% electricity hikes for the 2026/2027 financial year. Public comments to open after March 31.

By: AXL Media

Published: Mar 24, 2026, 9:53 AM EDT

Source: The information in this article was sourced from IOL

Durban Residents Hit With Substantial Utility Hikes as eThekwini Municipality Tables Double-Digit Increases for 2026/2027 Budget - article image
Durban Residents Hit With Substantial Utility Hikes as eThekwini Municipality Tables Double-Digit Increases for 2026/2027 Budget - article image

Economic Strain on Durban Households

Residents of the eThekwini metropolitan area are facing a renewed period of financial pressure following the tabling of the municipality's 2026/2027 tariff proposal. The Executive Committee (EXCO) met on Tuesday, March 24, 2026, to review a report that outlines steep increases across all major municipal services. These hikes come despite widespread public protests in 2025, signaling a widening gap between the city’s cost-recovery requirements and the residents' ability to pay. With inflation and global economic tensions already squeezing consumer pockets, the proposed double-digit increases are expected to dominate local political discourse as the municipality moves toward final budget approval.

Electricity and the Eskom Factor

The proposed electricity tariff increase has been set at 10.5% for the new financial year. This figure is closely linked to the Eskom Retail Tariff and Structure Adjustment (ERTSA) application, which was approved by the National Energy Regulator of South Africa (NERSA) earlier this month. While NERSA authorized a 9.01% average municipal increase for electricity distributors effective July 1, 2026, eThekwini has opted for a slightly higher local adjustment to cover administrative and maintenance overheads. Analysts warn that this increase—which is nearly triple the current estimated CPI—could be "dangerous" in an election year where "bread and butter" issues typically dictate voter behavior.

Water and Sanitation: The 15% Threshold

Perhaps the most significant blow to domestic budgets is the proposed 15% increase for potable and sundry water tariffs. This hike applies to both domestic and non-domestic consumers, reflecting the capital-intensive nature of maintaining a reliable water supply in a region prone to infrastructure damage and supply volatility. Accompanying this is a 13% domestic increase for sewage disposal (sanitation) and a 14% increase for non-domestic users. The Sanitation Directorate has defended these figures as necessary to repair flood-affected infrastructure and modernize aging wastewater treatment works, many of which are operating under strained licenses.

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