Eskom to pull plug on top 20 defaulting municipalities

[Diesal]

Eskom to pull plug on top 20 defaulting municipalities

Cape Town - Eskom plans to interrupt bulk electricity supply to the top 20 defaulting municipalities across the country with effect from June.

As at 31 March 2015, the total municipal arrears debt greater than 30 days was R4.6bn, Eskom said in a statement.

Of this amount, the top 20 defaulting municipalities are currently indebted to Eskom to the amount of R3.68bn for the bulk supply of electricity.

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.


Eskom notified all parties who were likely to be materially and adversely affected as it contemplates interrupting bulk electricity supply to the top 20 defaulting municipalities across the country with effect from 5 June 2015, Eskom said.

“Non-payment for electricity undermines Eskom’s statutory obligation to generate and supply electricity to municipalities nationally on a financially sustainable basis,” said acting Eskom CEO Zethembe Khoza.

“We have therefore decided to exercise our right according to the provisions of the Electricity Regulation Act 4 of 2006 and the supply agreement with municipalities, which entitled us to disconnect the supply of electricity to defaulting municipalities.”

Eskom said it recognised that the disconnection of electricity supply may cause undue hardship to consumers and members of the community, and may adversely affect the delivery of other services, however, customer disconnection is always the last resort explored.

Consumers within the jurisdiction of a defaulting municipality will be given adequate notice in terms of the Promotion of Administrative Justice Act, no 3 of 2000 and will be given the opportunity to make written representations to Eskom.

Municipal leaders have accused government of using municipality money that was meant to be used to deliver services to the poor to instead solve Eskom’s woes.

They are threatening to go to court after National Treasury froze the funds of 56 municipalities for owing R12.6bn on services, according to City Press.

This is the list of the top 20 defaulting municipalities (in no particular order):

- Maluti-a-Phofung Municipality - Harrismith
- Matjhabeng Municipality - Welkom
- Emalahleni Local Municipality - Witbank
- Ngwathe Local Municipality - Tumahole, Parys
- Thaba Chweu Local Municipality Pilgrim's Rest, Lydenburg
- Lekwa Local Municipality - Sakhile, Standerton
- Govan Mbeki Municipality - Secunda
- City of Matlosana Local Municipality Jouberton, Kanana, Klerksdorp
- Naledi Local Municipality
- Thabazimbi Local Municipality - Limpopo: Waterberg
- Msukaligwa Local Municipality - Ermelo, Wesselton
- Lichtenburg Municipality
- Nala Local Municipality Kgotsong, Monyakeng
- Makana Local Municipality - Grahamstown and surrounding areas
- Madibeng Local Municipality - Brits, Hartebeespoort, Ga-Rankuwa
- Randfontein Local Municipality
- Dihlabeng Municipality - Bethlehem
- Nketoana Local Municipality - Arlington, Reitz, Petsana
- Nama Khoi Local Municipality - Springbok, Steinkopf
- Westonaria Local Municipality - Bekkersdal, Westonaria

Source: http://www.fin24.com/Economy/Eskom-to-pull-plug-on-top-20-defaulting-municipalities-20150410

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Cue the fireworks!

Let me be honest also, I've never head of most of those places in my life

MyBB - http://mybroadband.co.za/vb/showthread.php/691862-Eskom-to-cut-off-20-defaulting-municipalities

 

[yebocan]

ain't going to happen...Start of winter...bleeding hearts and all that softy mommy approach...ain't going to happen...

 

[falcrum]

I'm in Govan Mbeki municipality (Secunda). They're usually very quick to cut off your electricity if your account is in arrears for 20-30 days; yet they can't seem to pay their own bills. I've heard that Sasol usually bails them out when Eskom threatens to cut their supply - they can't have all their employees sitting without power (they do have a separate connection from Eskom for the plant).

 

[ToxicBunny]

I'm in Govan Mbeki municipality (Secunda). They're usually very quick to cut off your electricity if your account is in arrears for 20-30 days; yet they can't seem to pay their own bills. I've heard that Sasol usually bails them out when Eskom threatens to cut their supply - they can't have all their employees sitting without power (they do have a separate connection from Eskom for the plant).

Trust me, Sasol are not bailing them out in the slightest...

SASOL are a listed company, they wouldn't be able to get away with it or hide it in the books.

 

[grok]

So, not only does Eskom discriminate that some of us has to pay else we get cut off summarily, now they gonna cut bulk supply & penalise the few payers along with the non-payers from that municipality? Clever thinking, pissing off the remaining few % of your paying customers, effectively encouraging them to stop paying a well.

Ain't African democracy just a bucketload of fun!

 

[falcrum]

Trust me, Sasol are not bailing them out in the slightest...

SASOL are a listed company, they wouldn't be able to get away with it or hide it in the books.

There are many ways to do it legally without having to hide anything. It may for example be that they just do it as a loan to the municipality, or classify it under employee welfare. That said, I don't have any first-hand knowledge - just stories going around. What I do know is that they invest a lot into the town where the municipality fails to deliver (e.g. maintaining parks).

 

[HavocXphere]

Would also mean less load shedding for the munis actually paying...

 

[Diesal]

I've added a town/cities that fall within the municipality, paints a vastly different picture now ;/

 

[Seriously]

I would only believe once it happens for real. It's just a threat to get more bailouts as I am sure the ANC will bail them out again or they will "force transformation" by confiscating riches from those that "owes" them for their accumulated riches.

 

[supersunbird]

Eskom to interrupt electricity supply to defaulting municipalities

Eskom to interrupt electricity supply to defaulting municipalities:

http://www.bdlive.co.za/business/en...ectricity-supply-to-defaulting-municipalities

ESKOM says it will interrupt the electricity supply to municipalities that don’t pay their bills for several hours each day, beginning with the top 20 defaulters from 5 June.

The action is the most drastic the company has ever taken against municipal defaulters. It is owed R9bn by municipalities, of which R4.6bn is older than 30 days.

More in link.

Finally some balls.

 

[marine1]

It's always someone else's fault

 

[Greylor]

ESKOM says it will interrupt the electricity supply to municipalities that don’t pay their bills for several hours each day, beginning with the top 20 defaulters from 5 June.

How does a sentence that badly written get past editing? It's the first sentence of the article!

 

[Grant]

How does a sentence that badly written get past editing? It's the first sentence of the article!

hahaha
municipalities and their residents are to be without power, and your first concern is the grammar presented in the report

oh dear

you gave me a good chuckle - thank you

 

[Vrotappel]

Really great what is going on here, Eskom (ANC) vs Municipality (ANC) vs Treasury (ANC).

How ****ed up is this??

 

[Sinbad]

Really great what is going on here, Eskom (ANC) vs Municipality (ANC) vs Treasury (ANC).

How ****ed up is this??

As ****ed up as our country.

 

[P924]

I don't see Soweto in the list?

 

[Mila]

It's always someone else's fault

Edison! I blame Edison!

 

[marine1]

Edison! I blame Edison!

 

[Magnum]

Edison! I blame Edison!

Incorrect. Tesla the right guy to blame

 

[Hectic]

I don't see Soweto in the list?

Is Soweto a municipality or do they fall under someone else?