{"id":12924,"date":"2025-03-11T13:19:06","date_gmt":"2025-03-11T14:19:06","guid":{"rendered":"https:\/\/www.premium-partners.net\/?p=12924"},"modified":"2025-03-16T12:37:12","modified_gmt":"2025-03-16T12:37:12","slug":"eskoms-new-homeflex-tariff-what-south-african-households-need-to-know","status":"publish","type":"post","link":"https:\/\/www.premium-partners.net\/fr\/builder\/eskoms-new-homeflex-tariff-what-south-african-households-need-to-know\/","title":{"rendered":"Eskom’s new homeflex tariff: what South African households need to know"},"content":{"rendered":"

This post<\/a> was originally published on this site<\/a><\/p>

<\/p>\n

By Mark Allewell<\/em><\/p>\n

You\u2019d be hard pressed to find a nation whose modern character is as entwined with electricity as South Africa. Since the late 2000s, loadshedding has made power generation, grid stability, and electricity costs unwelcome yet constant visitors in our homes, conversations, and daily lives. Eskom\u2019s temperamental service has made South Africans not only cautious, but adaptable and ready to respond to new challenges.<\/span><\/p>\n

As of this time in writing, South Africa has experienced a welcome absence of systemic power cuts. But this doesn\u2019t mean we\u2019ve become complacent – history has made us hyper-aware of Eskom\u2019s every move, always ready to react at the slightest deviation. And the pattern is about to deviate again, albeit subtly, with changes to Eskom\u2019s tariff structures for the 2025\/2026 financial year.<\/span><\/p>\n

Introducing the Homeflex time-of-use tariff system <\/strong><\/p>\n

In 2023\/2024, Eskom introduced Homeflex, a time-of-use tariff system for homeowners. In simple terms, Homeflex seeks to encourage residents to reduce electricity consumption during high-demand times \u2013 those peak hours, like the early morning rush before work and the evening when everyone returns home. By making electricity more expensive during these hours, Eskom hopes people will make small, conscious changes to reduce their consumption. Crucially, Eskom has also acknowledged the role private power generation plays in reducing grid strain –  encouraging solar-powered homes to charge their batteries during off-peak hours to avoid drawing from an already strained grid during peak hours.<\/span><\/p>\n

It is important to note that the time-of-use system can only be rolled out across South Africa once smart meters are widely installed. This deployment remains a gradual process. While installation efforts are underway, it will take at least three to five years before a significant portion of the grid is equipped enough to support time-of-use tariffs at scale. Until then, the transition will be limited, as the necessary infrastructure and technological readiness must first catch up to ensure seamless implementation.<\/span><\/p>\n

On top of the time-of-use Homeflex system incoming, Eskom is further tweaking their approach. From April 1, the troubled parastatal plans to simultaneously split electricity costs into its constituent components and increase peak-hour prices. <\/span><\/p>\n

The goal is to make sure that homes without private generation aren\u2019t charged the same as those with solar panels (that may draw power from the grid to recharge their batteries at night during peak hours). On the surface, this approach seems like a reasonable, well-intentioned effort to reduce pressure on the grid. But when it comes to Eskom, even straightforward ideas often don\u2019t translate easily into execution.<\/span><\/p>\n

If Eskom supplied power directly to every home, this tariff change would be simple from a bureaucratic standpoint. However, not everyone buys power directly from Eskom –  Cape Town, for instance, first buys power from Eskom before selling it to citizens at a premium (needed to fund the municipality\u2019s upkeep of the transmission system). This means that time-of-use schedules like Homeflex aren\u2019t implemented in some places (although other measures are in place to offset the difference). At present, it remains uncertain how the pricing changes will affect customers who buy power indirectly. Eskom has indicated the potential for an eye-watering 36% price hike for some, putting significant strain on households without the benefit of buying directly from Eskom and avoiding some of the excess charges aimed at those with private generation.<\/span><\/p>\n

No flying cars (just yet)<\/strong><\/p>\n

Modern homes are not what the futurists of the 1950s predicted \u2013 there\u2019s no shiny, chrome-filled decor or wall-to-wall automation. Instead, we\u2019ve downsized appliances, with only a handful of specialty gadgets becoming household staples. Interestingly, despite the appearance of high-tech homes, the bulk of residential electricity use still centers on one key factor: temperature control. Fridges, pool pumps, air conditioners, kettles, geysers, and space heaters are big electricity guzzlers. Even old-fashioned incandescent light bulbs \u2013 inefficient as they were \u2013 generated heat simply from raising the temperature of their filament.<\/span><\/p>\n

Let\u2019s take the geyser as an example: a hot water heater is one of the most electricity-thirsty appliances in the home. A geyser can be responsible for 40-60% of household power usage. How? It takes a 3kW, 150l geyser element 2 hours and 40 minutes to heat the water from 20\u00baC to 65\u00baC. In this time, the geyser consumes around 8kWh. Continuously heating water and keeping it at the right temperature is an energy-intensive, slow process.<\/span><\/p>\n

This becomes even more challenging when water usage is unpredictable \u2013 many people leave their geysers running for hours to accommodate their daily routines. But heating a geyser all day is like permanently boiling a kettle to enjoy one small cup of coffee in the morning, it\u2019s not economical or energy-saving at all. Under Homeflex, the punishment isn\u2019t for using hot water during peak hours, but for the energy required to refill and constantly reheat the geyser. Since one inevitably leads to the other, morning and evening showers could become a costly exercise in economic decision-making.<\/span><\/p>\n

All of this sets up a frustrating set of circumstances for many. Eskom\u2019s attempt to modernise and improve the power system through a time-of-use tariff system is a step in the right direction, but execution is clouded by the complexities of South Africa\u2019s decentralized electricity distribution channels and the steep price hikes that often follow. Fortunately, South Africans have some advantages to help weather the storm.<\/span><\/p>\n

We aren\u2019t the first, and won\u2019t be the last<\/strong><\/p>\n

It\u2019s important to note that South Africa isn\u2019t the first country to go through this process. Australia, New Zealand, Canada, the USA, Hong Kong, and several European nations have all faced similar challenges, and we can learn from their experiences. What\u2019s more, the lessons from these countries have been extensively studied and discussed by academics, think tanks, and the government and private institutions. There\u2019s even a dedicated journal, <\/span>Energy Regulation Quarterly<\/span><\/a>, focused on these issues, with a wealth of advice for both consumers and Eskom on how to adapt to time-of-use tariffs.<\/span><\/p>\n

For consumers, the key recommendation is simple: make use of enabling technologies such as digital thermostats, timers, temperature controllers, and eco-friendly appliances. South Africa has a range of options in this space, and investing in these technologies can help mitigate the impact of high-demand tariffs. In the case of geysers, for example, you can ensure that your geyser is pre-heated during off-peak hours, avoiding the need for it to reheat during peak times. By using smart, low-cost technologies, South Africans can not only soften the blow of peak-hour price hikes but also streamline their energy use, lower costs, and support Eskom\u2019s efforts to promote more responsible and sustainable electricity consumption.<\/span><\/p>\n

Mark Allewell is the CEO at Sensor Networks\/<\/figcaption><\/figure>\n

Mark Allewell is the CEO at Sensor Networks.<\/em><\/p>\n

BUSINESS REPORT<\/strong><\/p>","protected":false},"excerpt":{"rendered":"

By Mark AllewellYou\u2019d be hard pressed to find a nation whose modern character is as entwined with electricity as South Africa. Since the late 2000s, loadshedding has made power generation, grid stability, and electricity costs unwelcome yet constant visitors in our homes, conversations, and daily lives. Eskom\u2019s temperamental service has made South Africans not only cautious, but adaptable and ready to respond to new challenges.As\u00a0of\u00a0this\u00a0time\u00a0in writing, South Africa has experienced a welcome absence\u00a0of\u00a0systemic power cuts. But this doesn\u2019t mean we\u2019ve become complacent – history has made us hyper-aware\u00a0of\u00a0Eskom\u2019s every move, always ready to react at the slightest deviation. And the pattern is about to deviate again, albeit subtly, with changes to Eskom\u2019s\u00a0tariff\u00a0structures for the 2025\/2026 financial year.Introducing the Homeflex\u00a0time-of-use\u00a0tariff\u00a0system\u00a0In 2023\/2024, Eskom introduced Homeflex, a\u00a0time-of-use\u00a0tariff\u00a0system for homeowners. In simple terms, Homeflex seeks to encourage residents to reduce electricity consumption during high-demand times \u2013 those peak hours, like the early morning rush before work and the evening when everyone returns home. By making electricity more expensive during these hours, Eskom hopes people will make small, conscious changes to reduce their consumption. Crucially, Eskom has also acknowledged the role private power generation plays in reducing grid strain –\u00a0 encouraging solar-powered homes to charge their batteries during off-peak hours to avoid drawing from an already strained grid during peak hours.It is important to note that the\u00a0time-of-use\u00a0system can only be rolled out across South Africa once smart meters are widely installed. This deployment remains a gradual process. While installation efforts are underway, it will take at least three to five years before a significant portion\u00a0of\u00a0the grid is equipped enough to support\u00a0time-of-use\u00a0tariffs\u00a0at scale. Until then, the transition will be limited, as the necessary infrastructure and technological readiness must first catch up to ensure seamless implementation.On top\u00a0of\u00a0the\u00a0time-of-use\u00a0Homeflex system incoming, Eskom is further tweaking their approach. From April 1, the troubled parastatal plans to simultaneously split electricity costs into its constituent components and increase peak-hour prices.\u00a0The goal is to make sure that homes without private generation aren\u2019t charged the same as those with solar panels (that may draw power from the grid to recharge their batteries at night during peak hours). On the surface, this approach seems like a reasonable, well-intentioned effort to reduce pressure on the grid. But when it comes to Eskom, even straightforward ideas often don\u2019t translate easily into execution.If Eskom supplied power directly to every home, this\u00a0tariff\u00a0change would be simple from a bureaucratic standpoint. However, not everyone buys power directly from Eskom –\u00a0 Cape Town, for instance, first buys power from Eskom before selling it to citizens at a premium (needed to fund the municipality\u2019s upkeep\u00a0of\u00a0the transmission system). This means that\u00a0time-of-use\u00a0schedules like Homeflex aren\u2019t implemented in some places (although other measures are in place to offset the difference). At present, it remains uncertain how the pricing changes will affect customers who buy power indirectly. Eskom has indicated the potential for an eye-watering 36% price hike for some, putting significant strain on households without the benefit\u00a0of\u00a0buying directly from Eskom and avoiding some\u00a0of\u00a0the excess charges aimed at those with private generation.No flying cars (just yet)Modern homes are not what the futurists\u00a0of\u00a0the 1950s predicted \u2013 there\u2019s no shiny, chrome-filled decor or wall-to-wall automation. Instead, we\u2019ve downsized appliances, with only a handful\u00a0of\u00a0specialty gadgets becoming household staples. Interestingly, despite the appearance\u00a0of\u00a0high-tech homes, the bulk\u00a0of\u00a0residential electricity\u00a0use\u00a0still centers on one key factor: temperature control. Fridges, pool pumps, air conditioners, kettles, geysers, and space heaters are big electricity guzzlers. Even old-fashioned incandescent light bulbs \u2013 inefficient as they were \u2013 generated heat simply from raising the temperature\u00a0of\u00a0their filament.Let\u2019s take the geyser as an example: a hot water heater is one\u00a0of\u00a0the most electricity-thirsty appliances in the home. A geyser can be responsible for 40-60%\u00a0of\u00a0household power usage. How? It takes a 3kW, 150l geyser element 2 hours and 40 minutes to heat the water from 20\u00baC to 65\u00baC. In this\u00a0time, the geyser consumes around 8kWh. Continuously heating water and keeping it at the right temperature is an energy-intensive, slow process.This becomes even more challenging when water usage is unpredictable \u2013 many people leave their geysers running for hours to accommodate their daily routines. But heating a geyser all day is like permanently boiling a kettle to enjoy one small cup\u00a0of\u00a0coffee in the morning, it\u2019s not economical or energy-saving at all. Under Homeflex, the punishment isn\u2019t for using hot water during peak hours, but for the energy required to refill and constantly reheat the geyser. Since one inevitably leads to the other, morning and evening showers could become a costly exercise in economic decision-making.All\u00a0of\u00a0this sets up a frustrating set\u00a0of\u00a0circumstances for many. Eskom\u2019s attempt to modernise and improve the power system through a\u00a0time-of-use\u00a0tariff\u00a0system is a step in the right direction, but execution is clouded by the complexities\u00a0of\u00a0South Africa\u2019s decentralized electricity distribution channels and the steep price hikes that often follow. Fortunately, South Africans have some advantages to help weather the storm.We aren\u2019t the first, and won\u2019t be the lastIt\u2019s important to note that South Africa isn\u2019t the first country to go through this process. Australia, New Zealand, Canada, the USA, Hong Kong, and several European nations have all faced similar challenges, and we can learn from their experiences. What\u2019s more, the lessons from these countries have been extensively studied and discussed by academics, think tanks, and the government and private institutions. There\u2019s even a dedicated journal,\u00a0Energy Regulation Quarterly, focused on these issues, with a wealth\u00a0of\u00a0advice for both consumers and Eskom on how to adapt to\u00a0time-of-use\u00a0tariffs.For consumers, the key recommendation is simple: make\u00a0use\u00a0of\u00a0enabling technologies such as digital thermostats, timers, temperature controllers, and eco-friendly appliances. South Africa has a range\u00a0of\u00a0options in this space, and investing in these technologies can help mitigate the impact\u00a0of\u00a0high-demand\u00a0tariffs. In the case\u00a0of\u00a0geysers, for example, you can ensure that your geyser is pre-heated during off-peak hours, avoiding the need for it to reheat during peak times. By using smart, low-cost technologies, South Africans can not only soften the blow\u00a0of\u00a0peak-hour price hikes but also streamline their energy\u00a0use, lower costs, and support Eskom\u2019s efforts to promote more responsible and sustainable electricity consumption.Mark Allewell is the CEO at Sensor Networks\/Mark Allewell is the CEO at Sensor Networks.BUSINESS REPORT<\/p>","protected":false},"author":1,"featured_media":12896,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-12924","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-builder"],"_links":{"self":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts\/12924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/comments?post=12924"}],"version-history":[{"count":2,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts\/12924\/revisions"}],"predecessor-version":[{"id":12927,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/posts\/12924\/revisions\/12927"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/media\/12896"}],"wp:attachment":[{"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/media?parent=12924"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/categories?post=12924"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.premium-partners.net\/fr\/wp-json\/wp\/v2\/tags?post=12924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}