City Power disconnects businesses in debt
City Power embarks on revenue collection drive by switching off electricity to defaulting businesses in Roodepoort.
Gone are the days of negotiating and has City Power begun disconnecting electricity to Roodepoort businesses in debt.
On March 20, the Roodepoort Service Delivery Centre (SDC) identified 10 businesses including a residential complex which owe the local power utility more than R23 million in unpaid electricity bills.
General Manager Sibusiso Xulu and his team came together to convoy around Roodepoort with the help of the Johannesburg Metro Police (JMPD) and Fidelity security company to disconnect the identified businesses and residential complex.
“The reason we do these collection drives is to make sure we enable our customers to pay the money they owe. Businesses throughout the City of Johannesburg currently owe R750 million in total. Arrangements for the R400m that are owed by businesses in Roodepoort to be paid, were also made. Customers are defaulting by not remaining consistent with their payments. The top eight customers who owe R23m are visited and their electricity disconnected. A notice to pay their bill if they wish to have their electricity back on, is also served,” said Xulu.
The Roodepoort Record joined CP to also get feedback from business owners, renters and tenants who were disconnected. Response from business owners were similar; incorrect meter readings or informing their banks on tariff changes. Tenants who rent out for their business were left angered by the mismanagement of their landlords not paying their electricity bills.
The Record spoke to the tenants in the residential complexes, who were flabbergasted by the immediate cut-off and mentioned how they have been cut off for the third time this month. “This has been a pattern since December 2023 and we get charged for business rates instead of residential rates yet we seemingly always get cut even though we pay our bills on time,” said Sandile Kunene, a resident at Leadwood complex in Florida which was cut off.
Xulu concluded by saying, “Some of the owners accept their acknowledgment of debt and make the arrangements with CP. Unfortunately, this seems to be a ploy to delay the process and for CP to not disconnect their electricity. They will pay for two months and stop so with the new decision made by CP, if an individual defaults from making payment CP is allowed to disconnect your electricity.”
According to CP spokesperson Zaheera Walker, the Roodepoort SDC is currently sitting on a debt of R800m owed by both businesses and residential customers. The utility will therefore continue to clamp down on these defaulters as it intensifies the revenue collection drive.
