Northern Cape in talks with Eskom on municipalities’ debts

The MEC for Cooperative Governance, Human Settlements and Traditional Affairs in the Northern Cape, Bentley Vas says his department has started engagements with Eskom and four municipalities that owe the power utility millions of rands.

On Tuesday, Eskom disconnected power supply to four of the defaulting municipalities, Kamiesberg, Richtersveldt, Tsantsabane and Emthanjeni.

Power was restored on Thursday to three of the municipalities after they made payments.

“The municipalities owe Eskom over R240-million combined. Three of these municipalities’ power supply was restored today after they made a portion of payment to Eskom. The department of COGHSTA says municipal revenue collection has been severely impacted by the effect of COVID-19 pandemic and that has resulted in inability for them to effectively implement credit control and debt collection measures.  The department says the municipal debt steering committee is currently engaging with both parties to avert future electricity disconnections by addressing issues resulting to non-payment to Eskom.”