Dikgatlong Municipality has been granted unrestricted access to its FNB bank account after Eskom obtained a court order three years ago to attach the bank account in order to recover debts.
DIKGATLONG Municipality has been granted unrestricted access to its FNB bank account after Eskom obtained a court order three years ago to attach the bank account in order to recover debts.
The legal representative for Dikgatlong Municipality, Chwaro Kgotlogomang, stated that the attachment of the municipality’s bank account prevented it from complying with its duties in rendering services such as the provision of clean water, sanitation and refuse removal.
He pointed out that water was being sourced from the Vaal River, where there were real fears that residents could be exposed to an outbreak of cholera.
It was indicated that as of March 2018, the municipality agreed to settle outstanding debts of R55.9 million to Eskom in instalments from March 1, 2018 until August 1, 2023.
Kgotlogomang stated that the municipality had paid R72.5 million to Eskom between December 2019 and April 20, 2023, along with R27 million on December 24, 2019, where they had settled all outstanding debts.
The legal representative for Eskom, advocate LF Uys, believed that irreparable harm would be suffered if payment was not made.
He pointed out that Eskom had a constitutional obligation to supply electricity.
Eskom maintained that the municipality owed it R207.5 million as of June 26, while the amount in arrears amounted to R151.5 million.
It added that Dikgatlong Municipality had not made any payments towards its historic debts.
In her judgment, Northern Cape High Court Judge Almè Stanton stated that it was in the best interests of justice to permit the municipality access to its bank account, pending the finalisation of the application to set aside the judgment.
The matter is expected to be heard in the Northern Cape High Court on August 23.
