Joburg Settles R5.25bn Overdue Eskom Debt in Full

By: City of Joburg

The City of Johannesburg has fully settled its R5.25 billion overdue electricity debt to Eskom, bringing an end to a long-running billing dispute that had raised concerns over the security of the city’s electricity supply.

Eskom confirmed that it had received the final payment, clearing the accumulated overdue debt of R5,255,421,994.16 owed by the City and City Power.

The settlement follows an intervention and mediation process led by Minister of Electricity and Energy Dr Kgosientsho Ramokgopa, which brought together the City of Johannesburg, City Power and Eskom to address the outstanding debt and billing disputes.

Following the payment, Eskom has withdrawn the Promotion of Administrative Justice Act (PAJA) process, which was initiated on 17 May 2026 over the outstanding arrears.

Ramokgopa welcomed the resolution, saying cooperation between the different spheres and entities had helped protect Johannesburg’s electricity supply.

“We are pleased to see this matter reach a definitive conclusion. This resolution reinforces the effectiveness of the Inter-Governmental Relations model we have championed,” Ramokgopa said.

He added that continued dialogue had helped ensure residents and businesses received uninterrupted electricity while protecting the financial sustainability of the national power utility.

Johannesburg Executive Mayor Dada Morero described the settlement as an important step towards improving the City’s financial position and responsible governance.

“Settling the R5.25 billion overdue debt demonstrates our commitment to honouring our obligations while protecting Johannesburg’s residents and businesses from disruptions to electricity supply,” Morero said.

The City has committed to paying future electricity accounts on or before their due dates. Morero said efforts would also continue to reduce electricity losses caused by theft and vandalism and to invest in critical power infrastructure.

Eskom and City Power are expected to continue working together on infrastructure maintenance, reducing electricity losses and strengthening data-sharing systems aimed at supporting a more reliable and sustainable electricity supply across Johannesburg.