Government

Municipalities owe Eskom R122.5 billion. 110 councils are behind by R1m+

Electricity Minister Kgosientsho Ramokgopa told Parliament that municipal arrears to Eskom hit R122.5 billion by 31 August 2026, with 110 municipalities each owing more than R1 million.

By Reported Team

Eskom high-voltage transmission pylon and power lines across open veld in South Africa
NJR ZA, Wikimedia Commons, CC BY-SA 3.0

Municipalities owed Eskom R122.5 billion in overdue electricity bills by 31 August 2026, and 110 of them are each behind by more than R1 million, Electricity Minister Kgosientsho Ramokgopa said in a written reply to Parliament (MyBroadband).

That is roughly 43% of South Africa's 257 municipalities (MyBroadband).

How fast is the debt growing?

Quickly. The arrears stood at R119 billion in early August, and about R103.5 billion a year earlier (MyBroadband). Between August 2025 and August 2026 municipalities added an average of R1.583 billion a month in unpaid Eskom bills (MyBroadband).

Point in timeMunicipal arrears owed to Eskom
About a year agoR103.5 billion
Early August 2026R119 billion
31 August 2026R122.5 billion

Source: MyBroadband, citing Eskom and Ramokgopa's parliamentary reply.

Eskom warned a year ago that the debt could pass R300 billion by 2030 (MyBroadband).

Who asked, and why does it matter?

The question came from DA MP Kevin Mileham, his party's electricity spokesperson, who wanted to know how many municipalities were not paying Eskom in full and on time (MyBroadband).

Eskom chairman Mteto Nyati has said fixing municipal debt is key to the utility's finances and its ability to repay its own loans (MyBroadband).

Why can't some municipalities pay?

Many lose large amounts of power they never bill for. eMalahleni in Mpumalanga lost R441 million over nine months to illegal connections, meter tampering, vandalism and old infrastructure, according to MyBroadband's earlier reporting (MyBroadband). It also has 77 informal settlements that are not formally connected or billed (MyBroadband).

Does this affect your electricity?

If you buy power from your municipality, your payments go to the council, which then pays Eskom. When that money doesn't reach Eskom, the debt builds up. Ramokgopa's reply, as reported, gives totals and does not list a cut-off plan for any municipality (MyBroadband).

Separately, Eskom uses load reduction (planned rotational outages in specific areas with heavy illegal connections) and says it wants to end it by 2027 by rolling out smart meters (MyBroadband).

To find out where your own municipality stands, check its latest annual report or ask your ward councillor.

FAQ

How much do municipalities owe Eskom?

R122.5 billion in overdue debt as of 31 August 2026, according to Electricity Minister Kgosientsho Ramokgopa's reply to Parliament.

How many municipalities owe Eskom more than R1 million?

110 municipalities, roughly 43% of South Africa's 257.

How fast is municipal Eskom debt growing?

By an average of about R1.58 billion a month between August 2025 and August 2026.

Sources