Eskom announced on Wednesday that the municipal electricity debt in Gauteng continues to increase rapidly.
The City of Tshwane and City of Ekurhuleni jointly owe Eskom R4.7 billion as of 31 August 2023, according to the power utility.
Tshwane has accumulated an electricity debt of about R3.2 billion over July and August 2023 due to erratic payments, while Ekurhuleni’s debt is presently just under R1.5 billion, Eskom said.
“The payment patterns by both municipalities have deteriorated to concerning levels that further threaten Eskom’s liquidity, financial performance, and sustainability.
“The erratic payments by the City of Tshwane dating back to 2022 are alarming. Also of serious concern is the entrenched practice by the City of Ekurhuleni of settling its account late over the past six months,” said Eskom in a statement.
Despite all the avenues explored to recover the money, Eskom said both municipalities have failed to fully honour their payments and to comply with their electricity supply agreements.