Northern Cape municipalities collectively owe Eskom more than R5,1 billion as of June 2024.
DA provincial spokesperson on Co-operative Governance, Human Settlements and Traditional Affairs (Coghsta), Gizella Opperman, said the department confirmed the amount in reply to written questions posed by the DA.
“This is a shocking increase from June 2023 when the amount was standing at R2.68 billion as reported by the Auditor-General.
“This municipal fiscal crisis is set to worsen, as R4,5 billion is owed for more than 90 days already. The Auditor-General also cautions that 61 percent of the Northern Cape’s municipalities are in dire financial straits.
“A total of 92 percent of municipalities are unable to pay bills within 30 days, while municipalities are struggling to pay off their debts.”
She warned that Eskom would disconnect the electricity supply of municipalities that failed to settle their debts.
“Residents bear the brunt of punitive disconnections while businesses collapse without a reliable supply of affordable electricity.“
Opperman added that questions were submitted to enquire which departments were failing to pay their overdue municipal accounts.
“It cannot be that ordinary citizens have their electricity disconnected if their accounts are a little behind, but that departments are allowed to owe millions and millions of rands without facing any repercussions,” she stated.
