Africa-Press – South-Africa. Electricity Minister Kgosientsho Ramokgopa has stepped in to assist in the impasse between Eskom and the City of Joburg over its billion rand debt.
Ramokgopa announced on Monday that an independent body would be roped in to resolve the debt challenges.
This comes after Eskom issued the metro with a notice to cut power due to unpaid bills.
The power utility said that the City of Johannesburg owed it R6.3 billion.
Eskom said the city had acknowledged the debt but said it refused to pay the full amount of its monthly bill.
Ramokgopa said that a solution could be found.
“This is a situation that is going to confront us, so you can kick the can down the road as you like but for as long as people are not paying, or as long as there is significant contraction in the economy or the economy is not growing at the right pace, City Power will not be able to collect what is required.”
Meanwhile, Johannesburg Mayor Dada Morero has committed to resolving the debt issue with Eskom within 14 days.
Morero said that the R6.3 billion debt dispute would be resolved with support from Electricity Minister Kgosientsho Ramokgopa.
The mayor said that talks would continue as the City of Joburg and City Power explore options to prevent power cuts.
“So around the 25th, we will give a clear report on how we have resolved the debt issue between ourselves, which then means it will then officially exit the court processes at that time. So that’s where we are and thank you minister for the intervention and the leadership that you’re able to provide.”
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