Freddy Nkanyane, the municipality's assistant director in the electrical unit, died from second degree burns he sustained when he was electrocuted on Sunday.
Nkanyane was in the company of a colleague, Takalani Mutsila, when they were subjected to an electric shock.
They had allegedly entered an electrical sub-station without taking protective measures. This resulted in an explosion that burnt them.
Mutsila is still fighting for his life in the intensive care unit of Milpark Hospital in Johannesburg.
According to preliminary investigations the two had gone to switch on power after the mining town had gone for three days without power.
According to the municipality the two were supposed to use a remote control to switch the power on. But when they discovered its batteries had gone flat they decided to do it manually, which resulted in the explosion.
Mayor Anna Sono, was still too traumatised to comment yesterday. She could only say: "I'm still shocked about the death of an official at the municipality."
The she hanged up. Municipal spokesman Elliot Ramachela's phone rang unanswered. He also failed to respond to messages left on his phone.
Phalaborwa community leader Edmund Mbetse said yesterday they would call for the resignation of the mayor and manager Stimela Sebashe.
"The two have failed to provide services to the people. Each time there was a power failure, they would fix the problem without replacing the whole system. And now this," he said.