The Eastern Cape Department of Local Government says it will step in to save the Gariep Municipality from having the bulk electricity supply to the municipality cut off.
Eskom is threatening to cut the supply to the municipality in March because of an outstanding debt of more than R11m.
According to the spokesperson for the Bhisho Department of Local Government, Mvusiwekaya Sicwetsha, the Department will provide five million rand to the Gariep Municipality to help it meet its financial obligations.
He says they're also trying to get national and provincial treasury to release the municipality's share of conditional grants allocated to the province.
However, Sicwetsha says Local Government MEC, Mlibo Qoboshiyane, also wants cost cutting measures to be put in place.
"The main problem which resulted in this situation was more on not understanding government processes in terms of spending the money that the treasury gave them and they did not even apply for a rollover," he said.
"So, we are busy helping them to (build) capacity to spend their conditional grant, equitable share and even the MIG (municipal infrastructure grant) so that they give services to the people," said Sicwetsha.
He said MEC Qoboshiyane wants to make sure that the electricity is not switched off but the issues of "systems and administration are also of critical importance so that we don't have this situation again."
