New Discount Scheme – From July 2025, a game-changing electricity discount scheme has been rolled out for households and small businesses using smart meters across several regions. This new initiative is designed to reward energy-efficient behavior, reduce electricity bills, and promote the adoption of smart meter technology. With rising electricity tariffs impacting consumers nationwide, this discount scheme offers a welcome relief and could save consumers hundreds of rands each month. The program is being led by Eskom in partnership with several municipal electricity providers. If you’re already using a smart meter—or planning to install one—now is the best time to take advantage of these fresh incentives and new billing structures.
What Is the Smart Meter Discount Scheme?
This scheme is part of a broader national effort to modernize the electricity grid and reward responsible energy consumption. Households with smart meters will automatically qualify for dynamic discounts, tiered rates, and off-peak benefits.
Key highlights of the scheme:
- Applicable to both residential and small business users.
- Offers real-time energy usage tracking and cost reduction tips.
- Designed to reduce peak-hour consumption through flexible pricing.
- Available to all users with smart meters activated before 15 July 2025.
Benefits for Smart Meter Users in July 2025
The new discount scheme introduces several incentives aimed at helping consumers save money, especially during high-usage months. Here’s a breakdown of the major benefits:
- Discounted tariffs during off-peak hours (up to 35% savings).
- Monthly cashback offers on staying under usage thresholds.
- Additional credits for weekend energy savings.
- No connection charges for first-time smart meter installations.
- Free SMS or app alerts on high usage to help monitor expenses.
- Automatic eligibility for bonus units on pre-paid meters.
- Reduced VAT component for qualifying households.
- Special rates for pensioners and senior citizens.
Pre- and Post-Scheme Tariff Breakdown
| Description | Before July 2025 Rate | After July 2025 Smart Meter Rate |
|---|---|---|
| Standard Tariff (Peak Hours) | R3.05/unit | R2.55/unit |
| Off-Peak Tariff | R2.40/unit | R1.56/unit |
| Smart Meter Cashback (Monthly) | Not available | Up to R210/month |
| Free Units (Under-usage Bonus) | Not available | 15–20 units/month |
| Weekend Energy Saver Credits | Not applicable | 5–10% off bills |
| VAT on Electricity | 15% | Reduced to 10% for some users |
| Pensioner/Senior Citizen Rate | Not available | 25% discount |
| Smart Meter Install Cost | R980 (avg) | Free until 15 July 2025 |
Eligibility Criteria for the Discount Scheme
To ensure you qualify for this new scheme, you must meet the basic eligibility requirements. Authorities have issued clear instructions for applying or being auto-enrolled based on your usage history and meter type.
Eligibility conditions include:
- Must have a working smart meter installed before 15 July 2025.
- Must be registered with your municipality or Eskom as a residential or small business user.
- Monthly consumption should be below the 600kWh cap to avail full discount.
- Your meter must be connected to the real-time tracking system.
- You should not have outstanding electricity bill dues from the past 2 months.
How to Enroll or Activate the Discount
Enrolling in the new smart meter discount program is easier than ever. Most users will be auto-enrolled, but others can apply manually if needed.
Steps to activate or enroll:
- Contact your local municipality or Eskom office and verify your meter status.
- Download the Eskom Smart App or visit your utility provider’s official site.
- Provide your meter ID and account number for activation.
- For manual applications, fill out the Smart Discount Form (available online and offline).
- Activation confirmation will be sent via SMS within 24–48 hours.
Where to Apply and Whom to Contact
| Provider/Municipality | Contact Number | Website/Application Portal |
|---|---|---|
| Eskom (National) | 08600 37566 | www.eskom.co.za/smartdiscount |
| City of Johannesburg | 011 375 5555 | www.joburg.org.za/electricity |
| City of Tshwane | 012 358 9999 | www.tshwane.gov.za |
| eThekwini (Durban) | 080 1313 111 | www.durban.gov.za |
| Nelson Mandela Bay | 041 506 5555 | www.nelsonmandelabay.gov.za |
| Mangaung (Bloemfontein) | 051 405 8911 | www.mangaung.co.za |
| Buffalo City (East London) | 043 705 9111 | www.buffalocity.gov.za |
| Cape Town (Smart Grid Unit) | 0860 103 089 | www.capetown.gov.za/smartgrid |
Important Dates and Deadlines to Remember
The government has set specific dates for enrollment, installation, and benefit activation. Consumers are urged not to miss these timelines as the scheme is time-limited.
- July 1, 2025 – Scheme officially begins.
- July 15, 2025 – Last date to install smart meters and qualify for free installation.
- July 20, 2025 – Bonus cashback calculation starts for early adopters.
- July 31, 2025 – First off-peak discount cycle ends.
- August 5, 2025 – Updated rates applied to billing statements.
- September 1, 2025 – Government to review and possibly expand the scheme.
How to Track Usage and Maximize Your Savings
Smart meter users can make the most of this scheme by tracking their energy usage in real-time and adjusting their habits to save more.
Tips to boost your savings:
- Use appliances like geysers, washing machines, and ovens during off-peak hours.
- Monitor your daily usage on the Eskom app and set alert limits.
- Reduce standby power by unplugging unused electronics.
- Take advantage of weekend saver bonuses by avoiding energy-intensive activities.
- Regularly check for bonus credits or cashback through your provider’s portal.
The July 2025 smart meter discount scheme is a massive win for electricity consumers across South Africa. With new tariffs, bonus units, and cashback offers, smart meter users now have powerful tools to manage their energy bills more efficiently. Don’t wait until the deadline—install or activate your smart meter before 15 July and start saving immediately. Always stay informed through your electricity provider’s updates to make the most of this opportunity.
Frequently Asked Questions (FAQs)
- Who qualifies for the new smart meter discount scheme?
Only those with smart meters installed and registered before 15 July 2025 are eligible. - Can I apply if I already have a smart meter?
Yes, if it’s activated and registered, you will likely be auto-enrolled. - How much can I save each month?
Depending on usage and time-of-day consumption, savings can range between R150 to R350 monthly. - What happens if I exceed the usage cap?
You may lose part or all of the bonus discounts for that month, but standard off-peak rates still apply. -
Is the installation really free?
Yes, if done before 15 July 2025 through your municipality or Eskom-approved vendors.