Eastern Cape Local Government MEC, Mlibo Qoboshiyane, says Eskom will not be cutting power to the Gariep Municipality as it had earlier threatened.
In a statement late yesterday, he said an agreement had been reached between Eskom and the Gariep Municipality on its oustanding debt totalling more than 11-million rand.
The power utility had placed a newspaper advert warning residents that it would cut the power supply to the Gariep Municipality, which covers the towns of Steynsburg and Burgersdorp.
Qoboshiyane says the Gariep Municipality has embarked on a serious credit control and revenue collection drive that is beginning to show some positive results.
He says an agreement has been reached with the Municipality to make three equal monthly instalments, starting from the end of March, to offset the Eskom debt.