Tshwane chases R1.4-billion from non-paying east ratepayers
The city plans to reduce operating expenditure by R1-billion and increase revenue collection by R1-billion to meet its target.
The Tshwane metro is chasing approximately R1.4 billion in electricity debt owed by ratepayers in the east of Pretoria alone.
The unpaid debt is owed by households, businesses, government and indigent individuals in Pretoria east and Mamelodi, according to spokesperson Lindela Mashigo.
Mashigo said the metro was grappling with financial challenges and therefore was embarking on an aggressive credit control to get the residents fork out what is due.
The breakdown of the debt in Region 6:
– 119 business accounts in Pretoria east owe a staggering amount of almost R20.5-million.
– 12 152 residential accounts owed R1.074-billion
– 11 480 indigents individual accounts owed the city over R320-million.
– 32 inactive accounts owe the city R1.3-million.
Mashigo said for the city to reach its monthly target it would reduce its operating expenditure by R1-billion and increase revenue collection by R1-billion.
“This will also happen through quality control on all disconnections followed by legal action to recover the outstanding debt.”
MMC for Finance Jacqui Uys recently said the metro issued 14 000 formal letters of demand to defaulting customers in Tshwane.
“In our drive to encash our debtors’ book, the city issued 14 000 Section 129 notices as a formal demand to residents, businesses, government entities and embassies who have arrear accounts.
This marks the start of the debt-collection process that will ultimately end in the attachment of assets, including properties of defaulting payers,” Uys said.
“A Section 129 notice is a legislative process that Tshwane is embarking on to support and bolster the relaunched Tshwane Ya Tima revenue-collection campaign where we disconnect services to those who build up high utility accounts and fail to pay.”
She said the Tshwane Ya Tima and the letters of demand are also supported by the focus on removing illegal connections followed by the issuing of hefty fines and legal action where those who steal electricity are arrested.
“Electricity and water theft is a crime, and illegal connections are a criminal offence. It is not a faceless crime, by illegally connecting, you are robbing the city of its revenue and fellow residents of services,” Uys said.
“Our continued focus to ensure a successful debt-collection function is key to the financial recovery of the City.”
She said the city remains thankful to those who have settled their account in full and on time.
“We further call on those who have not done so to please settle their accounts or to take responsibility for their debt. By applying for the free indigent basket of services or to apply to the affordability committee to have debt restructured or make payment arrangements with the metro.”
The metro has since February 2024, planned to collect R6.2-billion owed by defaulters in six months.
The drive had become a daily priority, as all non-paying consumers were being targeted.
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