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City of Johannesburg Responds to Outrage Over Proposed Electricity Surcharge Hike

Published

4 months ago

May 6, 2025

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Johannesburg residents have been up in arms over reports that the prepaid electricity surcharge could increase from R200 to R270 per month. But the City of Johannesburg has stepped in to clarify—no such increase has been approved.

Margaret Arnolds, the city’s Finance MMC, confirmed that the surcharge remains at R200, or R230 including VAT, for now.

“The City of Johannesburg is not increasing the surcharge. It remains at R200 and with VAT it will be R230,” Arnolds told eNCA, pushing back against what she called media-driven confusion.

The backlash comes as Joburg residents continue to grapple with rising living costs—from food and transport to other utility bills. Many feel the surcharge, introduced in July 2024 by City Power, is unfair and poorly timed given the economic pressure.

Why Are People Angry About This Charge?

The fixed surcharge was introduced to help maintain and upgrade Johannesburg’s electricity infrastructure, especially amid widespread issues like cable theft and illegal connections. City Power explained that this R200 monthly charge was meant to fairly distribute the costs of network upkeep across all users.

However, political parties like ActionSA have fiercely opposed the fee. In March, the party claimed on X (formerly Twitter) that the City plans to raise the surcharge to R270, calling it “unjust” and promising to vote against it.

“It is not what you guys perceive it to be,” Arnolds responded. “We still have a draft of all the proposals that are out there.”

She added that no final decision would be made without considering public input.

What’s Really on the Table?

While no increase has been approved, Arnolds admitted that several proposals are being reviewed—including a potential hike of the network capacity charge from R130 to R200.

These charges, paired with the prepaid surcharge, form part of the City’s efforts to improve revenue collection for maintaining critical infrastructure. But critics argue they place an unfair burden on consumers who already pay for electricity usage.

The Bigger Picture

Former Johannesburg Mayor Kabelo Gwamanda previously defended the surcharge, stating that the city’s infrastructure would “fall apart” without these contributions from residents.

Still, the issue remains highly contested. Residents, community organizations, and opposition parties have all called for the fixed charge to be scrapped, saying it undermines the principle of pay-as-you-use.

What You Can Do

Johannesburg residents are encouraged to engage with the City’s draft budget proposals and submit comments before final decisions are made. Keeping informed and participating in public consultations is crucial as these charges could affect household budgets going forward.