Mediator Appointed for Johannesburg’s Debt to Eskom, SA Reacts

• Eskom, the Minister of Electricity, Dr Kgosientsho Ramokgopa, and Johannesburg City Power held a meeting
• They agreed that a mediator must be appointed to mediate between Eskom and City Power for the billions of debt City Power owes the state utility
• South Africans were stunned by the decision to appoint a mediator, and many questioned how much it would cost the taxpayer
• ActionSA spoke to Briefly News and welcomed the decision by Eskom to appoint a mediator

With nine years of experience, Tebogo Mokwena, a Briefly News current affairs journalist, provided insights into infrastructure challenges in South Africa at Daily Sun and Vutivi Business News.

JOHANNESBURG — Johannesburg's City Power and Eskom met with the Minister of Electricity and concluded that a mediator was needed to resolve the debt to the state-owned entity.

Mediator appointed for City Power's debt

SABC News reported that Dr Kgosientsho Ramokgopa met with the mayor of Johannesburg, Dada Morero, City Power officials and Eskom officials on 11 November 2024 to discuss the burdening debt City Power owes Eskom. They agreed that a mediator should be appointed to resolve the debt crisis.

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Ramokgopa said that the technical expert is expected to give Ramokgopa, Morero and City Power feedback by 25 November. City Power owes Eskom R4.9 billion in unpaid bills.

ActionSA speaks to Briefly News

ActionSA told Briefly News that the appointment of a mediator was good news.

"ActionSA Joburg Caucus welcomes the intervention by the Minister of Electricity; this is in line with what we have been calling for. We have cautioned the sore relationship between the City and Eskom. We are the first political party to call for a dialogue, as opposed to court battles and press statements. We implored both parties to put their egos aside and address the matter at hand for the benefit of more than 6 million Johannesburg residents," the party said.

"The City has raised genuine concerns about overcharging, and such assertions cannot be dismissed. We believe it is critical that Eskom address the issues that the City is raising. The City has been paying Eskom; the challenge only started when the City realised that they were paying more than they should. We are saying the City, through City Power's robust revenue collection, can service its Eskom obligations. Eskom must address the elephant in the room, which is overcharging."

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Netizens in disbelief

Facebook netizens were in disbelief, and many had questions about the need for a mediator.

Richard Maluleke asked:

"What were they waiting for all along?"

Mbalenhle asked:

"Why? Just pay. That mediator is a way of giving their friends money."

Jonas MJ Madisa said:

"All of them are just there to pickpocket our tax money."

Gail Klaas said:

"They must find a permanent solution, and they must not look for an easy way out and steal the money."

Tladi Maboea asked:

"How much are they going to pay the mediator, and for how long?"

City Power disconnects Lenasia's electricity

In a related article, Briefly News reported that City Power disconnected electricity for residents of Lenasia.

The area owed City Power more than R24 million in unpaid bills, and these include businesses and residential areas.

South Africans slammed City Power for switching the electricity off during a cold weekend.

Source: Briefly News