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Eskom, Renosterberg municipal lawsuit over money owed to court in late May – SABC News

The case between Eskom and the Renosterberg municipality over millions of debts the electricity company will be heard in the District Court of Norðurhöfði on 27 May.

Eskom secured the banks’ bank accounts to recover debts.

The freezing of the bill has put the municipality in great distress, which has led to wage defaults and poorer services.

Renosterberg Mayor Andrew Samson says: “This issue has affected the municipality for almost the last seven months. It has also put a lot of pressure on us, especially our employees, because we have not been able to pay them for the last two months.

With the help of the local government, we were able to pay at least two months’ salary, which was the salary bill for November and December, and since then it has been difficult for Renosterberg to provide adequate services under our constitutional mandate.

The municipality claims to have presented Eskom with a payment plan for the R106 million debt.

Samson says he is waiting to hear Eskom’s response to their proposal.

“We took a decision as we have reached an agreement with Eskom, regarding a payment plan at an affordable price. The first thing we have introduced them is to give them 20% of our quarterly share, which they had a problem with. The Council then decided by looking at all the challenges we need to give them at least 2.5 million R2.5 million in the quarter as part of a fair share and also to hand over to Eskom all our electricity sales from end users.

Eskom, Renosterberg municipal lawsuit over money owed to court in late May – SABC News

Source link Eskom, Renosterberg municipal lawsuit over money owed to court in late May – SABC News

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