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Govan Mbeki Municipality fails to adhere to terms of Eskom debt payment

Residents again under threat of electricity interruptions.

Govan Mbeki Municipality is once again facing a deadlock with regard to their Eskom debt.

According to the spokesman for Eskom, Mr Khulu Phasiwe, many municipalities, including Govan Mbeki Municipality, have defaulted on some of their payments to Eskom.

Govan Mbeki Municipality reached a debt repayment agreement with Eskom in March and although the municipality paid the initial amount owing for March and a portion of the debt, there are allegations that payment has not been made in full for more than two months.

It is alleged that GMM will not be able to service their current Eskom account which could result in electricity interruptions within 48 hours.

According to Mr Phasiwe, many municipalities in Mpumalanga are facing similar financial burdens.

“What has happened is that these municipalities have over-extended themselves and made offers in excess of their financial capabilities and are then unable to adhere to the terms of the repayment agreements.

“In many instances, the municipalities will contact Eskom ahead of time, explain the situation and then agree to pay a certain proportion of the monthly repayment amount, and endeavour to catch up on the rest of the payments.

“If the lines of communication between Eskom and the municipalities remain open, Eskom will not summarily decide to interrupt electricity supply without further negotiations.”

This seems to be the situation in the Govan Mbeki Municipality now, and Mr Phasiwe confirmed that although the repayment agreement stated that Eskom may interrupt electricity supply should the municipality default on its payments, there are no immediate plans to cut off electricity to Govan Mbeki municipality.

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