Phalaborwa owes municipality R1b in unpaid electricity
Phalaborwa households and businesses owe the Ba-Phalaborwa Municipality more than R1 billion in outstanding electricity bills.
PHALABORWA – Homeowners and businesses in Phalaborwa owe the Ba-Phalaborwa Municipality more than R1 billion in outstanding electricity bills, much of it accumulated over several years.
Last week, the municipality’s finance and electricity departments launched the Hi ta tima sweswi campaign – translated as “we will disconnect now” – aimed at recovering unpaid electricity revenue.
As part of the initiative, electricity services are being disconnected at households and businesses with outstanding accounts.
Some accounts owe more than R100k
BPM spokesperson Jonas Mahesu said some residential and business accounts owe more than R100 000 each. He explained that the campaign forms part of the municipality’s revenue enhancement strategy.
“The revenue collection policy allows us to disconnect services to clients who fail to pay,” Mahesu said.
He added that a previous phase of the campaign resulted in a 20% increase in revenue collection, the highest improvement recorded by the municipality.
“Management expects this momentum to push collection rates beyond the regulated 95% threshold.”

Eskom meets with mayor over load reduction
In April, a meeting between Ba-Phalaborwa Mayor Merriam Malatji and Eskom management raised hopes that load reduction could soon become a thing of the past for residents.
The meeting focused on addressing load reduction challenges and improving grid stability in the area.
Both the municipality and Eskom reaffirmed their commitment to stabilising the electricity grid to ensure a reliable power supply.
Smart meters on the way
Eskom also announced plans to roll out smart meters, which are expected to improve billing accuracy, simplify electricity purchases, and help households better manage their energy consumption.

Mixed reactions from residents
The introduction of smart meters has drawn mixed reactions from residents. Some have expressed concerns about the cost of the meters and the fact that they are difficult to tamper with.
Eskom noted that smart meters have already been installed in areas such as Nkowankowa, particularly where there was widespread tampering with older meters. In those areas, consistent electricity purchases have helped reduce load reduction.
Eskom: Cooperation needed
Eskom cautioned that the complete elimination of load reduction will depend on community cooperation. Residents were urged to:
- Ensure that all electricity usage is properly paid for
- Stop illegal connections
- Avoid purchasing electricity from unlawful or “ghost” vendors




