Municipality in Standerton has no repayment plan for Eskom debt
New revenue enhancement programmes will be implemented this year and the undertaking was given that the amount paid to Eskom will increased. “Our target is to be able to pay the current account and cover part of the arrears.”
The electricity interruptions in Standerton were reported on from the viewpoint of the Lekwa Ratepayers Association and Eskom, with residents of Lekwa Municipality also making their voices heard.
The communications officer for Lekwa, Thando Nkosi, gave feedback and outlined the municipal situation.
The answer to the often-asked question about the amount owed to the power utility was R1.8b.
According to Lekwa, regular monthly payments between R20m and R30m are made.
“That does not make a huge difference because of the high interest rate charged,” the memorandum read.
Lekwa said they are not defaulting on payments but admitted that no plan was agreed on. According to them, they are working toward a repayment plan.
The memorandum also said that the three big electricity users in the municipality pay Eskom directly.
As regards the equitable share received annually, 15% must be paid to the municipality.
Lekwa said they supply all businesses and households with electricity. Their debt collection system will be intensified to ensure that those who can afford it pay for electricity, and those who cannot will be encouraged to fill in the indigent form to qualify for a subsidy.
New revenue enhancement programmes will be implemented this year, and the undertaking was given that the amount paid to Eskom will increase.
“Our target is to be able to pay the current account and cover part of the arrears.”
Illegal connections, electricity theft, and ghost vendors were also mentioned.
New prepaid meters are being installed to counter illegal connections and electricity theft.
A new electricity line addressed the problems faced by residents in Ext Seven, Vodacom, and Mahala Park.
Lekwa said they would move to other substations to upgrade them for the winter load.
The memorandum touched on upgrading the water treatment and wastewater treatment plants.
This will be dealt with one the national Department of Water Affairs has advertised tenders for service providers.
