Given that the money owed by municipalities to Eskom has grown to alarming proportions, where will the money come from to settle the debt?

Distribution Agency Agreements (DAAs) for municipalities

Eskom has implemented Distribution Agency Agreements (DAAs) to strengthen financial management within municipalities. Through this partnership, Eskom supports municipalities with electricity reticulation and distribution, revenue collection and retail services to improve billing and collection so municipalities can meet their payment obligations to Eskom more reliably.

Who it is for

municipalities

How to act on it

The document describes Eskom implementing and operating the DAA model with municipalities; it does not state an application or contact route.

Municipal Debt Relief Programme (conditional debt write-off)

National Treasury has implemented the Municipal Debt Relief Programme as a conditional, performance-based debt write-off mechanism. It provides for Eskom to write off all qualifying municipal debt (including interest and penalties) owed as at 31 March 2023 (excluding the current account) over a 3-year period, but only if municipalities meet compliance conditions.

Who it is for

municipalities with qualifying debt owed to Eskom as at 31 March 2023

How to act on it

The document states the programme is administered through strict eligibility and compliance rules, but it does not describe a specific application process or submission steps.