Municipalities hear Eskom's threat and pay up | Fin24
 
In partnership with
Loading...

Municipalities hear Eskom's threat and pay up

May 29 2015 17:54

Cape Town – Eskom’s threat to cut off 20 municipalities with arrears debt has clearly worked, after it announced on Friday that only three municipalities had not settled their debt.

This will be good news for the cash-strapped power utility, which is battling a delayed building programme and country-wide load shedding.

“The three face the risk of power interruptions on June 5,” Eskom tweeted, without giving their names.

Eskom spokespeople did not return calls on Friday to explain further.

Eskom said that on March 31, the total municipal arrears debt greater than 30 days was R4.6bn.

By April 29, Eskom had reached agreements with 50% of the defaulting regions.

Eskom tweeted on Friday that “all but three of the top 20 defaulting municipalities have settled their debt with Eskom.

“Some of the defaulting municipalities have paid part of their debt to Eskom and made arrangements to settle the balance going forward,” Eskom tweeted.

Warning to defaulters

“The bulk electricity supplies of municipalities that have entered into a payment agreement with Eskom will not be interrupted,” Eskom said on April 29.

“However, municipalities have to comply consistently with payment agreement terms on a monthly basis. If these conditions are not met, interruptions of supply will be implemented without further notice,” it said.

For the three outstanding municipalities, Eskom said it was “contemplating” a regulated interruption of electricity on Monday to Friday from 06:00 to 10:00 and 17:00 to 21:00, and on Saturday and Sunday from 07:00 to 10:00 and 17:00 to 20:00.

Just a hoax

These times were recently shared on Whatsapp with a warning that they were Eskom’s new winter planned load shedding system for the whole country. "The message spreading ... is not true,” Eskom tweeted on Thursday.

Acting Eskom CEO Brian Molefe said on Friday that Eskom was gearing up to have no planned load shedding from June 1.

Speaking at the launch of the Transnet Development Hub on Friday, Molefe said planned maintenance was mostly completed and so the utility was able to generate more power to meet the increased demand.

"[There will be] no planned load shedding this winter," he said, according to an Eskom tweet.

“Limited maintenance will be done during this period as most work was done in summer,” he said.

eskom  |  brian molefe  |  load shedding
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
29 comments
Comments have been closed for this article.
 

Company Snapshot

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

Do small independent businesses stand a chance against big corporates in SA?

Previous results · Suggest a vote

Loading...