Sanedi exec floats idea of zero-rated electricity as affordability concerns grow

Amid growing concern over the affordability of electricity for businesses and households, the head of the energy secretariat at the South Africa National Energy Development Institute (Sanedi) has floated the idea of including electricity in the list of products zero-rated for value-added tax (VAT). Listing the price of electricity and load reduction as the two most pressing matters facing the electricity sector at the start of 2026, Sanedi’s Professor Sampson Mamphweli listed the prospect of a VAT zero-rating as one of several interventions to consider.