Electricity

Item 6: GEF grant funding, first round of party speakers

Council considered accepting Global Environment Facility grant funding, with the DBSA as partner, for solar and energy efficiency work. The ACDP, GOOD, UDM, DA and an ActionSA proxy supported or noted the item. They raised concerns about the co-financing from City Power, unfunded obligations, oversight and procurement.

Item 6: FF+ support, MMC response and agreement

The Freedom Front Plus supported the grant and said it would oversee the spending through the Section 79 EISD Committee. MMC Sekwaila said the grant fits the plan to turn City Power into an energy company and responded to concerns on spending and reporting. The item was agreed.

PromiseThe FF+ will oversee spending of the GEF grant through the Section 79 EISD Committee.

PromiseMMC Sekwaila undertook to ensure the GEF grant money is spent in line with its mission.

Decisionapproved: Council agreed to accept the GEF grant of about US$3 million, with a co-financing commitment of about US$6.5 million.

DA, FF+ and UDM on EISD cluster

Cllr D. Steenkamp (DA) says outages take an average of about six days to resolve and asks that committee recommendations be tracked. Cllr Boer raises Pikitup's vacancy rate and City Power capex of 45%. Cllr Zigebe welcomes improved scores, but flags Joburg Water's pipe-burst repairs at 42% and Pikitup's decline, and supports the reports.

ACDP and PA on EISD cluster

The ACDP notes the report because Cllr Harris is absent. Cllr I. Steenkamp of the PA asks why residents struggle despite reported successes and notes the report with concern.

Urgent debate on Eskom substation cut-offs: speakers list

The debate is on the current and continued threat by Eskom to switch off electricity to several substations. No speakers were submitted, so the Speaker takes hands and adds Cllr Meyers (proposer), Cllr Boer and Cllr Nkonyeni. A brief exchange follows about councillors outside and ActionSA.

Eskom debate: Cllr Meyers (DA) as proposer

Cllr Meyers says Eskom plans to cut power to the Crowthorne, Allandale, Beyers Naude and Fordsburg substations over unpaid debt. He says the Mayor's assurances on 26 May were contradicted, and the DA handed in a 5,000-signature petition. Eskom extended the date to 17 July. He asks the executive to explain its plan to protect about 100,000 residents.

Eskom debate: Cllr Boer (FF+)

Cllr Boer says the executive has been reluctant to share information on the payment agreement and the Eskom debt. He says the city's financial statements show the Eskom debt did not increase between 2024 and 2025. He asks why Johannesburg is in the news over a R5.3 billion debt when other Gauteng metros owe more, and calls for clarification.

Eskom debate: Cllr Nkonyeni (ActionSA)

Cllr Nkonyeni says the threatened cuts show the failure of the government of the day and the GNU. He asks what plan exists to pay the arrears and what guarantee residents have against being left without power in winter. He says residents should not be punished for the city's mismanagement.

IT query and Deputy Executive Mayor's reply on Eskom

Cllr Belinda Echeozonjoku asks about IT problems with mics and screens. The Deputy Executive Mayor says engagements with Eskom have been constructive and that dedicated City Power and Eskom workstreams will be set up. She says outstanding matters will be finalised before the deadlines and rejects Cllr Boer's claim that the payment agreement is unknown, since council approved it.

PromiseThe city will set up dedicated workstreams between City Power and Eskom on turnaround actions, loss reduction, metering and City Power's financial sustainability.

PromiseCity and City Power management will keep meeting Eskom to finalise outstanding matters and agree a detailed implementation approach before the applicable deadlines.

Item 70: City Power Trading Reform Strategy – FF+, ACDP, ActionSA

Item 70 is the City Power Trading Reform Strategy for 2026-27 and its Business Investment Plan. Cllr Boer withdrew his speeches on items 70 and 72 because the reports had not served at Section 79. Cllr Harris (ACDP) criticised R164 million spent on consultants and noted the report. An ActionSA councillor speaking on behalf of Cllr Modukanene used his time to campaign for ActionSA and criticise the PA, then noted the report.

Item 70: EFF and ANC

Cllr Khonkhobe (EFF) supported the report, citing City Power's R44bn backlog, R3.1bn operating deficit and R5.7bn annual losses, and criticised reliance on consultants. Cllr Mutavhatsindi (ANC) said the ANC notes the report.

Item 70: DA opposes

Cllr Steenkamp (DA) said the DA backs the objectives but not the plan, citing unproven targets, thin treatment of Eskom risks, implementation doubts and the lack of Section 79 scrutiny. The DA said it would vote against item 70.

Item 70: MMC reply and item agreed over DA opposition

The Deputy Executive Mayor said the report builds on the earlier City Power turnaround strategy and seeks approval of the business and investment plan under National Treasury Guidance Note 5. The Speaker ruled that the yeses had it despite noes, and the DA recorded its opposition under Rule 84.

Decisionapproved: After some noes were heard, the Speaker ruled the yeses had it.

Decisionobjection recorded: A DA councillor asked that the DA's opposition to item 70 be noted under Rule 84.

Item 71: ActionSA and EFF on the trading reform programme

The sitting resumes mid-debate on item 71. An ActionSA speaker supports the programme's objectives and calls for rigorous council oversight of implementation. The EFF notes the report, welcomes the investment, and calls for results, accountability and regular reporting to council.

Item 73: City Power Trading Reform Strategy 2026-27 (PIAP V2)

The ACDP notes and accepts the report, ActionSA notes it, and the EFF supports it with a focus on Zandspruit and working-class communities. The DA's Cllr Steenkamp opposes it because it bypassed the Section 79 committee. MMC Masuku asks for approval, the yeses carried, and the DA recorded its opposition.

Decisionapproved: The Speaker ruled the yeses had it, and the DA recorded its opposition under Rule 84.

Item 85: updated shareholder compacts of City Power, Joburg Water and Pikitup

The ACDP notes the report and calls for board accountability. ActionSA approves, the EFF approves with concerns, and the ANC notes it. The DA opposes it because the compacts did not go to oversight committees and board selection is not addressed. The yeses carried and the DA recorded its opposition.

Decisionapproved: The Speaker ruled the yeses had it, and the DA recorded its opposition under Rule 84.

Delays at opening, Da Rocha point of order and power failure

The Speaker complained that councillors were moving around and caucusing outside as if the sitting had not started. IT then asked for 10 minutes because power was cutting at the bottom of the chamber. Cllr Da Rocha raised a point of order alleging the Speaker was biased over a belt incident the previous day. The Speaker broke for 10 minutes, and further delays followed while IT fixed sparking electrical equipment.

Decisionapproved: The Speaker adjourned the sitting for 10 minutes while IT dealt with the power problem in the chamber.

AHC Chair Mpolobosho supports the budget

Chair Mpolobosho welcomed the infrastructure allocation and raised water leaks, sewer blockages, street lights, illegal connections in Regions E and A, and faulty transformers in Ward 80. He urged MMCs to speed up electrification of informal settlements and pothole repairs. He said the African Heart Congress supports the budget 100%.

ATM's Cllr Magwentshu supports the budget

Cllr Magwentshu called the budget a moral document and acknowledged the R220 billion backlog and the electricity and water losses. He supported maintenance spending and stronger revenue collection but rejected placing the recovery burden only on ordinary residents. He raised concerns about migration and illegal connections, and said the ATM would support the budget.

UDM's Cllr Zigebe on infrastructure and trading services reform

Cllr Zigebe said the budget correctly identifies 44.7% water losses and 27% electricity losses. He welcomed the rise in maintenance spending from 7% to 8% and the allocations to City Power, Johannesburg Water and public safety. He said delivery must follow, and he called for transparency on where the 60% of capex for historically marginalised communities is spent.

Item 1: Cllr Meyers (DA) on water and electricity

Cllr Meyers contrasted the access statistics given in the budget speech with declining resident satisfaction. He cited water outages and infrastructure backlogs at City Power and Johannesburg Water. He questioned the lowered qualifications for the City Power CEO post and criticised plans on private solar users.

ACDP opposes the KfW loan

Cllr Harris said City Power is in crisis, citing a R16 billion overdraft and R5.2 billion owed to Eskom. He said the loan would carry R616 million in interest and a R17.5 million upfront cost, and argued it unfairly commits the next council. The ACDP would not support the item.

DA supports the loan after amendments

Cllr Santana raised concerns about the generic project description, safeguards against diversion to operating costs and the City Power salary freeze. He welcomed nine new annexures and amended recommendations, including a two-year freeze on executive salary increases at City Power. He set out the loan terms and said the DA would support the loan.

ANC supports the loan

Cllr Radebe said the ANC supports and approves the loan as a foundation for electricity infrastructure for future generations. He thanked other parties for supporting it.

MMC Masuku responds to the debate

MMC Masuku said the loan is concessional and ring-fenced for City Power under KfW conditions in Annexures 2 and 8. He thanked supporting parties and criticised ActionSA for voting against it.