Ekurhuleni Clarifies R8 Billion Bulk Utility Creditor Balance

As of 23 July, Ekurhuleni owed Rand Water R524.2 million. The city said this amount related to the June 2026 invoice and was not yet due for payment.

The City of Ekurhuleni says its approximately R8 billion creditor balance at the end of May should not be treated as overdue debt, stating that about half of the amount related to current invoices that had not yet reached their payment dates. The municipality said the distinction matters because its total creditor balance includes routine bills, as well as historical obligations being paid under formal arrangements.

As of 23 July, Ekurhuleni owed Rand Water R524.2 million. The city said this amount related to the June 2026 invoice and was not yet due for payment. The clarification followed public commentary about the municipality's bulk utility debt position. Ekurhuleni said financial figures need to be read in context, particularly where invoices are still within their normal payment period.

Eskom balance includes current and historic invoices

The city's balance with Eskom stood at about R5.12 billion. Around R2.8 billion related to the current invoice, which had not yet become payable, while approximately R2.2 billion involved older invoices being settled through an agreed payment arrangement.

Ekurhuleni said it remains compliant with the terms of that arrangement. During the final quarter of the 2025-26 financial year, it paid roughly R11 billion to creditors, describing the payments as evidence of continued efforts to meet obligations and improve its financial position.

City steps up cash-flow measures

Revenue collection and credit-control measures are being intensified to improve cash flow and reduce outstanding amounts. The municipality's year-end financial management programme is also focused on strengthening liquidity and ensuring that payment commitments can be met on a sustainable basis.

The city said current invoices and historic balances covered by repayment plans should not be grouped together with unpaid or defaulted debt, as this can create a misleading picture of its finances.

Focus remains on essential services

Ekurhuleni warned that inaccurate interpretations of its financial position could harm public confidence and affect relationships with strategic providers such as Eskom and Rand Water. The municipality said it remains committed to prudent financial management, meeting payment commitments and maintaining essential water and electricity services for residents.