Eskom threat of power cuts works as 5 municipalities pay
16 January 2017
Cape Town – Eskom has suspended power cuts to five municipalities who, together with others, owe the power utility R10.2bn in debt, it announced on Sunday.
Eskom said payments were received and payment plans agreed upon with Nketoana, Nala, Tokologo, and Mantsopa municipalities in the Free State Province, and Walter Sisulu municipality in the Eastern Cape Province.
“Eskom will be monitoring the strict adherence to the payment plans and the payment of current accounts of these municipalities, and any defaults will result in the interruption of supply without further notice,” it said in a statement.
The amount owed by defaulting municipalities rose to R10.2bn from R6bn six months ago, Eskom explained. “In the last five years, the overdue debt has increased tenfold with the March 2017 forecast being in excess of R12bn,” Eskom explained.