By Lebone Rodah Mosima
City Power will receive 70% of Johannesburg’s electricity revenue within 48 hours of it being collected from October. Â
The City of Johannesburg (CoJ) will continue collecting electricity payments from customers, but will transfer 70% of that revenue to City Power and retain the remaining 30% under a financial ring-fencing arrangement taking effect on 1 October.
“The arrangement will provide City Power with greater certainty over the revenue available to the business and when those funds will be received,” City Power said.
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“This will strengthen the entity’s ability to plan and manage its financial and operational obligations, including payments to Eskom, contractors and suppliers, procurement of critical materials, maintenance and repairs, and investment in electricity infrastructure.”
It said the ring-fencing was aligned with National Treasury’s Trading Services Reform Programme and reforms intended to improve the financial and operational sustainability of electricity services.
It also supports commitments to external funding partners, including requirements for KfW-funded infrastructure programmes.
“Greater control over available resources also places greater responsibility on City Power to ensure that those resources are managed responsibly and directed towards the priorities of the electricity business,” it said.
No change for customers
“For customers, nothing changes in how they receive their municipal statements or make payments,” City Power said.
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The utility has managed Johannesburg’s electricity billing function since 1 July 2025, giving it direct oversight of electricity billing, meter information, billing accuracy and electricity billing queries.
Residents will continue receiving consolidated municipal statements from the CoJ and must continue paying through existing City-approved payment channels.
Customers will not need to change their municipal account numbers, payment references, bank accounts or payment methods.
“There is no new City Power bank account that customers are required to use,” it said.
Payment scam warning
City Power also warned residents that criminals could attempt to exploit the introduction of ring fencing by providing fraudulent banking details or claiming customers need to make payments directly to the utility.
Residents were warned not to hand money to people claiming to be City Power employees or contractors who demand payment or bribes to resolve accounts, reconnect electricity or attend to service requests.
Customers were also advised not to act on unfamiliar banking details sent through unsolicited calls, messages, emails or social media.
“For customers, their municipal statement remains the same, where they pay remains the same, and how they pay remains the same,” City Power said.
