Polokwane Municipality cracks whip to recoup R271 million electricity debt from State, business

Polokwane Municipality has taken a firm stance against businesses and two Limpopo government departments that collectively owe the municipality millions of rands in unpaid electricity bills.

Municipal spokesperson, Thipa Selala, confirmed that the municipality’s Revenue Protection Team, acting under the directive of Mayor John Mpe, launched a switch-off campaign targeting major business premises and government defaulters.

“They began with two of government’s heavyweight defaulters — the Department of Agriculture, Land Reform and Rural Development, located opposite the City Library, followed closely by the Department of Education on the same stretch,” Selala said.

He revealed that the two departments owe the municipality a staggering R271 million — with the Department of Agriculture, Land Reform and Rural Development responsible for over R269 million, and the Department of Education owing around R2 million.

Holding the State accountable 

Selala said Mayor Mpe remains firm on the principle that service sustainability begins with accountability.

“Polokwane Municipality continues to urge all customers, including government departments and businesses, to honour their municipal obligations to ensure uninterrupted service delivery for all residents,” Selala added.

Selala further said: “Apart from these two government departments, we have also switched off electricity in a number of businesses, including one of a mobile network company which owes the municipality over a R1-million.”

The switch-off campaign was conducted in the city centre and Westerberg, and Selala said it will be rolled out to the other areas across the Polokwane Municipality.

The issue of government departments owing municipalities across South Africa is not new.

As of December 2023, government departments and public entities owed municipalities a combined R22 billion, according to Finance Minister Enoch Godongwana.

Responding to parliamentary questions from IFP MP Sbuyiselwe Angela Buthelezi, Godongwana revealed that a high-level analysis of municipal debt per government department — as reported under Section 71 of the Municipal Finance Management Act (MFMA) for the period ending December 2023 — showed an outstanding total of R22.065 billion.

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