has threatened legal action against Eskom, should the power utility disconnect the capital’s power over its outstanding R1.17 billion bill.said in a statement that it would commence the process of disconnecting the city and act in line with the Intergovernmental Relations Framework Act .
According to MMC of Finance Peter Dutton, the City is currently owed over R49 million by municipalities and this is what led to lack of payments. He said disconnecting services would be illegal and should this happen, the City would interdict Eskom from proceeding. “As communicated previously, due to the liquidity challenges of the City, we do not have access to reserve funds or short-term loan funding to bridge the cash deficit we are experiencing,” said Dutton.
“It remains important that we increase our revenue-collection levels to resolve the liquidity problem in the City. We therefore appeal to residents, businesses and other clients to pay their municipal accounts on time so that the City can be able to pay creditors like Eskom.”