Tuesday, July 14, 2026

Joburg to pay R960 million to Rand Water as City tackles debt pressures, says Morero

Date:

Johannesburg’s Water Bill Set to Be Paid This Month

Executive Mayor Dada Morero announced that the city will settle its Rand Water account with a payment of about R960 million. He said the metro is now able to cover its current water bill without major trouble.

Electricity Costs Remain a Heavy Burden

While water is under control, buying electricity from Eskom is still a big challenge for Johannesburg’s budget.

Why Eskom Bills Are Tricky

  • Eskom charges different rates for peak and off‑peak hours.
  • The city must pay the higher peak‑hour price even though residents are billed at a regular municipal rate.
  • When Eskom raises its tariffs, the city’s electricity budget feels the squeeze.

Morero said the administration is looking for ways to cut bulk electricity costs and protect residents from sudden price jumps.

Clearing Up Treasury Concerns

Earlier worries that Johannesburg had passed an unfunded budget were addressed after talks with National Treasury.

What Treasury Said

  • The city’s 2026/27 budget is confirmed as funded.
  • Any unfunded adjustment budget issue has been closed.
  • Johannesburg will receive its equitable share once signed acknowledgement letters from Eskom and Rand Water are submitted.

That money will help clear outstanding amounts owed to Eskom and Rand Water.

Dealing with Unauthorised Spending

The mayor explained that Johannesburg has submitted a reduction strategy to National Treasury showing how it will tackle accumulated unauthorised expenditure.

Next Steps

  • Investigations and consequence‑management reports will be presented to council in July.
  • The city aims to move from clearing arrears to keeping accounts current.

Waste Collection Back on Track

A week‑long disruption in refuse collection was caused by problems with contractors and casual workers.

What Happened

  • Casual workers are not direct city employees.
  • After resolving the issues, trucks started clearing the backlog on Tuesday evening.
  • Morero expects the backlog to be gone within three days, with normal service resuming soon.

He apologised to residents affected by the delay.

Fighting Corruption in Tenders

To strengthen oversight, Johannesburg now subjects all tenders above R5 million to an independent probity check.

How It Works

  • The probity process verifies that supply‑chain policies are followed.
  • Morero said the system has already helped reduce corruption’s impact.
  • He acknowledged that corruption remains a serious challenge but believes tighter controls are making a difference.

Conclusion

Johannesburg is making progress on paying its water bill, working to manage costly electricity purchases, and clearing up funding misunderstandings with National Treasury. At the same time, the city is addressing waste‑collection hiccups, cracking down on unauthorised spending, and tightening tender procedures to combat corruption. While challenges remain—especially with Eskom’s tariff structure—the mayor’s office says it is focused on keeping accounts up to date and delivering reliable services to residents.

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