The City of Tshwane’s debt has swelled to R1.4-billion as a result of its short and non-payment spanning several months, Eskom said on Wednesday.
According to Eskom, Tshwane short-paid its 2022 November bill of R600-million and failed to pay R780-million which was billed for December. This has negatively impacted the liquidity, financial performance, and sustainability of the cash-strapped power utility.
“Despite the arrangements with the CoT [City of Tshwane] to encourage it to settle its November 2022 account by 31 December 2022, the bill remains outstanding. Eskom said.
“Eskom has approached the Department of Cooperative Governance and Traditional Affairs to mediate in the resolution of the CoT’s poor payment that continues to spiral out of control.”
The power utility further said it previously reported on Tshwane’s erratic culture of payment. “On 5 January, the power utility again made the same plea to the CoT to settle its long-outstanding invoice of November 2022 during a meeting between the two entities, but to no avail.”
Eskom called on the city to settle its electricity bill in order for the power utility to continue supplying it with its power.
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