The City of Johannesburg has settled its outstanding R5.25 billion electricity debt to Eskom.
The Department of Electricity and Energy and the City of Johannesburg confirmed on Friday that Eskom had received the final payment, clearing overdue debt of R5.255 billion owed by the city and City Power.
The settlement follows an intervention and mediation process led by Electricity and Energy Minister Kgosientsho Ramokgopa, bringing together the City of Johannesburg, City Power and Eskom to resolve long-running billing disputes.
The dispute had raised concerns about the potential impact on Johannesburg's electricity supply. Following confirmation of the final payment, Eskom withdrew the Promotion of Administrative Justice Act (PAJA) process it initiated on 17 May 2026 to address the outstanding arrears.
Ramokgopa welcomed the resolution, saying the inter-governmental process had helped bring the matter to a definitive conclusion while ensuring an uninterrupted electricity supply and protecting Eskom's financial sustainability.
Johannesburg Executive Mayor Dada Morero described the settlement as a significant step towards improving the city's financial sustainability and responsible governance.
The city has committed to keeping future electricity accounts up to date, reducing losses caused by theft and vandalism, and investing in critical infrastructure.
Eskom and City Power will also continue working together on infrastructure maintenance, reducing electricity losses and improving data-sharing to support long-term electricity security in Johannesburg.
The Department of Electricity and Energy and the City of Johannesburg confirmed on Friday that Eskom had received the final payment, clearing overdue debt of R5.255 billion owed by the city and City Power.
The settlement follows an intervention and mediation process led by Electricity and Energy Minister Kgosientsho Ramokgopa, bringing together the City of Johannesburg, City Power and Eskom to resolve long-running billing disputes.
The dispute had raised concerns about the potential impact on Johannesburg's electricity supply. Following confirmation of the final payment, Eskom withdrew the Promotion of Administrative Justice Act (PAJA) process it initiated on 17 May 2026 to address the outstanding arrears.
Ramokgopa welcomed the resolution, saying the inter-governmental process had helped bring the matter to a definitive conclusion while ensuring an uninterrupted electricity supply and protecting Eskom's financial sustainability.
Johannesburg Executive Mayor Dada Morero described the settlement as a significant step towards improving the city's financial sustainability and responsible governance.
The city has committed to keeping future electricity accounts up to date, reducing losses caused by theft and vandalism, and investing in critical infrastructure.
Eskom and City Power will also continue working together on infrastructure maintenance, reducing electricity losses and improving data-sharing to support long-term electricity security in Johannesburg.