Newcastle Municipality’s Eskom debt has again become a public talking point, but the different figures being mentioned have left many residents confused.

The confusion comes from three main points: an older Eskom debt that the municipality previously said was settled, a recent report claiming the debt stood at R2.1 billion, and the municipality’s latest response saying the current Eskom debt is R670.5 million.

In July 2023, IOL reported that Newcastle Municipality had claimed to have settled a historic R264 million Eskom debt. At the time, Mayor Xolani Dube said the municipality had honoured a payment commitment of R30 million per month, which led to the settlement of that debt ahead of deadline. IOL also noted that Eskom had not yet confirmed the municipality’s claim at the time of publication.

That older report is important because it shows that Newcastle’s Eskom debt problem has been a long-running issue, not something that appeared overnight.

The latest dispute started after Newcastillian News reported that Newcastle Municipality owed Eskom R2.1 billion as at 31 March 2026, citing figures linked to KwaZulu-Natal Treasury.

Newcastle Municipality then rejected the report, saying it was misleading and created a false impression of the municipality’s financial position.

In its response, the municipality did not deny owing Eskom. Instead, it said its current Eskom debt stood at R670,533,672.83 as of 18 May 2026, under a payment plan agreement.

So, what does this mean?

It means there may be different figures being used for different periods, records, or payment arrangements. The R264 million figure refers to an older debt the municipality said it settled. The R2.1 billion figure comes from a recent report linked to Treasury information. The R670.5 million figure is what the municipality now says is its current Eskom debt under a payment plan.

The municipality also says it is owed R2.4 billion by members of the public in unpaid consumer accounts. This is important because municipalities rely on payments from residents, businesses and other account holders to pay service providers such as Eskom.

In simple terms, Newcastle Municipality is saying: yes, it owes Eskom, but it disputes the R2.1 billion figure and says the current amount is R670.5 million.

The bigger issue is that Newcastle’s finances remain under pressure. The municipality has had Eskom debt problems before, says it settled an older debt, and is now facing fresh questions over what it currently owes.

For the public, the key point is this: the dispute is not about whether Newcastle has Eskom debt. It is about which figure gives the most accurate picture of the municipality’s current financial position.