Eskom Concerned About Lesedi Municipality’s Electricity Debt

Eskom says the Lesedi local municipality in Gauteng has failed to honour its August account due on September 28, taking its debt to R112m.
“This is inclusive of the R86m arrear amount. The compounding debt emanates from the zero and short payments since June 2022, when the local authority short-paid its account of R58m, made up of current and arrear amounts from the preceding months.
“The municipality made another short payment of R21m on July 15,” Eskom said.
Lesedi was billed R72m for July, which was due on August 26.
The municipality failed again to honour its obligation and no payment was made.
On August 29, Eskom billed the municipality R116m, including the June arrears amount and the full July account, with the municipality paying only R30m by September 14.
“Eskom is concerned about the payment patterns by the municipality as this is contrary to its previous impeccable payment record.
“The power utility has had several engagements with the Lesedi management team to get the municipality to service its account without much success.”
Eskom said it is complying with the Electricity Supply Agreement (ESA) signed by both parties as it continues to supply the municipality with electricity to meet its obligations to its customers.
“Regrettably, Lesedi has failed to meet its end of the agreement in breach of the ESA, making it difficult for Eskom to continue with its supply mandate.”
www.ferroalloynet.com