AfriForum concerned about outstanding Eskom accounts
01 Feb 2016 | Admin Author
Warning:
This article may contain graphic and/or adult content unsuitable for minors and sensitive readers.
Civil rights organisation AfriForum says it is concerned about the growing number of local municipalities in the country with outstanding payments on their Eskom accounts.
Spokesperson, Tiaan Esterhuizen says while the country has seen a week of rolling blackouts, South African municipalities owe the electricity supplier more than R2.3 billion.
He says the outstanding debt adds to the country's electricity woes.
Esterhuizen says Mpumalanga's municipal debt totals more than R800 million, while municipalities in the Free State owe more than R570 million.
"The growing debt can lead to a decision by ESKOM to cut bulk electricity supply to towns. Should municipalities fail to settle their debts, ESKOM will be left with no other alternative."
According to Esterhuizen municipalities that fail to pay their accounts, should have their licenses to supply electricity revoked. AfriForum believes that privatizing electricity management will eliminate the impact of inept municipalities, which will solve problems with electricity supply. Privatizing electricity supply will also streamline debt collection and an accurate invoicing system.