Tensions between Eskom and the Tshwane Metro continue to escalate as the power utility says the city has failed to pay its R1.6 billion bill for August, contrary to what Tshwane announced last month.

In a statement released by Eskom, the utility states that: “The City of Tshwane has failed to honour its August invoice of R1.6 billion, paying only R492 million which was due and payable on September 16 2022.”

Eskom also stated that a meeting with the metro’s management on Friday, 30 September to settle the matter yielded little to no results and was merely one of numerous engagements held regarding the debt.

ALSO READ: Eskom bills Tshwane another R1.6 billion on top of millions already owed

The metro, however, has since refuted Eskom’s claims that their account is in arrears and says it is committed to honouring the debt.

In a statement released on the same day, the metro’s communication, marketing and events department says: “The city is committed to honouring payments to its creditors, Eskom included. To display our obligation, the city paid nearly R500 million towards the arrears in question, therefore, the amount due is R1.1 billion, and not the R1.6 billion figure bandied about.”

The metro blames the city’s dire financial state for its inability to pay its full debt, although it assures that the money owed will be paid in due course.

ALSO READ: Tshwane pays Eskom July bill, has another R1.6-billion to pay

“Despite the financial difficulties the city finds itself in, daily payments have been made to the power utility to reduce the current debt. ‘Furthermore, the city has again submitted a payment arrangement which is a standard practice in municipal affairs.”

Eskom states that it remains committed to recovering the money owed to it and is using different methods including the National Treasury to facilitate disputes and come up with solutions.

“The City’s partial payment of its account exposes Eskom to serious financial risk and affects its ability to supply electricity to customers due to under-recovery,” said Eskom.

The metro calls on defaulting customers in municipalities to settle their accounts so that the city can settle the debt faster.

“While the city continues to prioritise payments to Eskom, as a significant player in service delivery to the residents of Tshwane, the municipality urges customers to pay their accounts in full and on time, to enable it to pay Eskom in good time,” concluded Tshwane.

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