SOUTH AFRICA: POWER UTILITY TO PULL THE PLUG ON DEFAULTING MUNICIPALITIES

South African power utility Eskom says it’s set to begin daily power-cuts on Monday to defaulting municipalities in the North West, the Free State and the Northern Cape.

 

Twenty-seven municipalities have a combined debt of over R10 billion.

 

Leading the pack is the Ditsobotla Municipality in Litchtenburg in the North West, which owes the power utility R185 million.

 

In less than 24 hours from now, some of these municipalities will begin experiencing daily power-cuts.

 

Business and other residents at these municipalities say they will be the hardest hit.

 

Some still view the move as unfair, arguing that they have a good track-record in paying their levies. However, the High Court in Pretoria has already rejected a move by Afri-Forum in trying to thwart the move and ruled in favour of Eskom, saying municipalities have an obligation of servicing their debt.

 

In the North West’s Ditsobotla Municipality, some big businesses are already planning to cut jobs as a result of the looming black-outs.

 

Source: NAM NEWS NETWORK

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