City Power allocated nearly 30% of Joburg’s R70bn budget for 2022/23

MMC for Finance Julie Suddaby said R1.6 billion of City Power’s R20.5 billion operational budget would be used for the reduction of power outages.

City Power workers weld up an electricity power box to prevent access to cable thieves and vandals. Picture: @JoburgMPD/Twitter

JOHANNESBURG - City Power has received the biggest chunk of Johannesburg's R70 billion budget for the 2022/2023 financial year.

The city's entity for energy distribution has been allocated an operational budget of R20.5 billion and an additional R1.2 billion for capital expenditure on infrastructure upgrades.

Mayor Mpho Phalatse has lauded the budget, which was delivered by the city's MMC for Finance Julie Suddaby on Wednesday.

Johannesburg is the country’s main economic hub and makes up 15% of the country’s GDP.

And so power outages and load shedding are among the greatest inconveniences affecting the city's over six million residents and the economy.

Suddaby said the city’s budget demonstrates its seriousness in dealing with these issues.

She said R1.6 billion of City Power’s R20.5 billion operational budget would be used for the reduction of power outages.

“This allocation is justified given historically low expenditure on City Power that has led to a breakdown in the city’s power network.”

Johannesburg Water received the second highest budget allocation of R13.9 billion and an additional R930 million for capital expenditure.