Eskom now wants more than R600 million from ELM in coming days up to 6 June to uplift its own attachment. According to ELM, Rand Water has agreed to lift partially its attachment order for salaries but the process is cumbersome and delays could occur.
The ailing power utility is also now again threatening to cut off electricity supply to Emfuleni, according to a leaked Eskom letter to ELM and which highlights the ambush tactics used by the utility in its dealings with the municipality.
Intensive negotiations were still under way on Wednesday between ELM and both Rand Water and Eskom on payments from separate municipal bank accounts in time for pay day, which is the 25th of every month.
However, it is understood that relations between ELM and Rand Water are much more cordial than with a cash-strapped and dysfunctional Eskom, which has been accused of picking on ELM to extract more than R500 million since December.
ELM itself on Tuesday this week warned all employees and the SA Municipal Workers Union (SAMWU) in an internal circular that salaries might not be paid on time for May.
SAMWU has demanded that both Eskom and Rand Water cease attachments of ELM bank accounts and assets due to the immense impact these have on service delivery and municipal employees.
Salary delays and the threat thereof have been a feature of every month-end since December last year when Eskom attached an ELM bank account and the entire municipal vehicle fleet for debt of more than R6 billion owed by ELM.
Then several weeks ago Rand Water, which is owed more than R1 billion by ELM, also attached a bank account but last month did allow salary payments but only late on the 25th.
Now Eskom is exacting a high price from ELM to allow upliftment of their bank attachment – nothing less than a final debt agreement between the two parties outstanding since late last year.
In a letter signed by Mpumelelo Mnyani, Eskom Gauteng Senior Manager Customer Relations, Eskom said it would only uplift its bank attachment on the following conditions:
- Pay R384 432 497 to bring ELM’s current account up to date
- Give an undertaking to pay another R187 914 974 million into the current account by 6 June
- Submit to Eskom a duly signed payment agreement on the total debt owed Eskom by ELM
