Tshwane electricity debt balloons to R1.4 bn
Updated | By Jacaranda FM
Eskom in Gauteng says Tshwane’s electricity debt has ballooned to R1.4 billion.
The utility on Tuesday said this is due to the city’s failure to make full payments, as well as non-payments over several months.
Eskom last year threatened to cut off the entire city’s power supply unless it starts settling its debts, a move which drew fierce criticism from Mayor Randall Abrahams.
The city also assured Eskom that it has a plan to pay back the monies owed to the utility.
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But Eskom’s Amanda Qithi says the city has struggled to keep up with its commitments.
“The city short-paid its November 2022 bill of R660 million and also failed to pay its December 2022 account of R780 million, negatively impacting the liquidity, financial performance, and sustainability of the power utility.” She said despite several engagements between the two parties, the bill remains outstanding.
It has now approached the Department of Cooperative Governance to mediate.
“Eskom does not have the financial capacity to finance the City of Tshwane’s operations and calls on the city to do right by its residents and pay the bulk electricity account to enable Eskom to continue supplying electricity to the city,” says Qithi.
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