#Adulting101: Feed your piggy bank

Janu-worry is real, we know. But take it easy when you finally get paid next week, because both electricity and petrol hikes are on the cards. 💀

Eskom has proposed a 20.5% electricity tariff increase for 2022/23 😱, saying most of that is because of factors beyond its control, such as the requirement to increase energy purchases from independent power producers, and an increase in carbon taxes. Those two factors account for 13.8% of the increase, Eskom says. 

Various bodies are opposing the hike because most South Africans have taken a Covid hit to their wallets – and many are angry about mismanagement and wasteful expenditure at Eskom. We’ll know for sure by the end of February, when national energy regulator Nersa must decide on Eskom’s proposal. 

Secondly, petrol prices, which swung between high and low last year, look to be leaning towards the high side this year. Economists say we can expect an increase in February.

Petrol prices around the world reached an all-time high in 2021 – the R20/L mark we hit towards the end of last year seemed high to us but is the global average. Prices soared in Europe too; there a litre costs around R30 and in Hong Kong it can be as much as R45. Back home, however, the price of petrol in South Africa is higher than most other African nations. In some, like Botswana, Ghana and eSwatini, it hovers around the R17/L mark, while places like Nigeria and Angola pay around R6/L, Global Petrol Prices shows.

This article appeared as part of The Wrap, 20 January 2022. Sign up to receive our weekly updates.