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Home International Customs

South African’s Westonaria municipality owes Eskom R70m electricity bill

byCustoms Today Report
17/04/2015
in International Customs, South Africa
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JOHANNESBURG: One of the two Gauteng municipalities facing a blackout by Eskom, for failing to pay its hefty R70 million electricity bill, is pleading poverty and blaming poor revenue collection for its financial woes.

The Westonaria local municipality, which includes mostly agricultural, mining land and few urban areas, including the impoverished Bekkersdal township, has been issued with notice to terminate their electricity supply. Eskom has notified the top 20 defaulting municipalities, including Westonaria and Randfontein in Gauteng, who are currently indebted to it to the tune of more than R3.6 billion, that they are likely to be affected by electricity supply interruption.

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This comes as the national electricity grid is under severe stress and Eskom is seeking a cash injection to ease the strain brought by its heavy reliance on gas and diesel turbines to keep the lights on. Westonaria’s municipal manager, Thabo Ndlovu, admitted on Friday that the council’s account with Eskom was up to R58m in arrears. “We have not been defaulting. We have been servicing our debt,” Ndlovu said. “Last year we owed over R70m and now its just under R58m.

Tags: municipalitySouth African’s Westonaria

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