South Africa’s National Energy Regulator (Nersa) has announced that it has reviewed and approved Sasol Gas’s application for maximum gas prices for the financial years 2027 and 2028, while deferring a final determination on the company’s price application covering the 2028/29 and 2029/30 financial years.
For end consumers, Nersa approved a maximum price of R97.31 per gigajoule (GJ) — equivalent to approximately US$6.02 — for the first quarter of the 2026/27 financial year.
The approved maximum price is subject to adjustment principles set out in the applicable methodology. Revisions will be implemented with a three-month lag and will be closely monitored and verified against relevant economic and procurement cost data to ensure affordability, sustainability, and efficiency, Nersa said.
As an additional consumer protection measure, should the application of the adjustment mechanism result in an increase of more than 10% in the approved maximum price in any given quarter, Sasol Gas will be required to obtain prior written authorisation from Nersa before implementing the revision, according to Engineering News.
The regulator stated that this measure ensures that significant increases in the maximum gas price remain subject to additional regulatory scrutiny. The approved maximum price excludes value-added tax (VAT).
“The decision comes at a critical juncture for the South African gas market, given the anticipated decline in gas volumes from Mozambique — commonly referred to as the ‘gas cliff’ — and the transition towards methane-rich gas as an alternative supply source,” Nersa said.
The shift in the gas supply landscape carries implications for procurement costs, available volumes, and the final prices paid by consumers.
“Nersa’s decision therefore seeks to provide regulatory certainty during this transition, while ensuring that costs recovered through regulated prices are properly substantiated and treated in accordance with the approved methodology,” said Nomfundo Maseti, full-time regulatory member responsible for Nersa’s Piped Gas Regulation division.
Nersa added that it will continue the regulatory process to assess the adequacy of competition in the relevant gas market. The outcome of that process will inform the determination of maximum prices for the remaining periods covered by Sasol Gas’s application.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/2026/09/02/mundo/africa/africa-do-sul-nersa-aprova-pedido-de-precos-da-sasol-gas-para-os-exercicios-financeiros-de-2027-e-2028/
