Treasury confirms support for distribution agency agreements as Eskom arrear debt rises

The National Treasury has confirmed that a scheme established to enable municipalities to write of arrear debt owing to Eskom by meeting various conditions, including keeping their current accounts up to date, is failing to arrest the crisis. “While 24 municipalities have qualified for the first one-third write-off after 12 consecutive months of payments and 21 have generally maintained payments, as of 7 May 2025, 47 municipalities remain in default,” a section in the Medium-Term Budget Policy Statement confirms.