Northern Cape businesses not happy as Eskom plans to cut electricity supply

Five municipalities in the Northern Cape will have their electricity supply interrupted. Eskom says despite repeated attempts, Tsantsabane, Magareng, Kamiesberg, Richtersveld, and Khai Ma municipalities have failed to reach a resolution on payment.

Eskom says power supply to these municipalities will be interrupted from Wednesday.

Eskom says the five municipalities owe more than R200 million.

Unlike other municipalities in the province, they have failed to honour their payment arrangements.

Eskom says it will go ahead with the power cuts this Wednesday.

Electricity will be cut off at 6 in the morning until 8 at night for seven days a week.

“We have been engaging with them and all attempts have failed to recover the monies from these municipalities. Power will be cut off from six in the morning until 8 in the evening. Residents who may have any questions about the lack of electricity in their areas are advised to contact their municipalities and their municipal councilors. Eskom has done everything it can to get them to meet their obligations which they have failed,” says Eskom Spokesperson, Sikonathi Manthsantsha.

Government to meet with Eskom

The Department of Cooperative Governance says it will meet with Eskom to discuss the inability of municipalities to honour payment arrangements made for their escalating electricity debts.

The department says the total debt of all municipalities in the province is more than R1 billion.

“The Eskom debt in the province stands at just over a billion rand with the highest three contributors being Kei Garieb, Siyacuma, and Gamagara local municipalities. There are many municipalities being affected by the interruption of bulk electricity supply. The department will be meeting with the premier’s office and Eskom on Wednesday to discuss a way forward on the issue of the Eskom debt. Part of the biggest problems facing municipalities is the inability to keep up the repayment plan that they made arrangements with Eskom,” says Cogta Spokesperson, Xhanti Teki.

Effect on business 

Meanwhile, the Northern Cape Chamber of Commerce and Industry (NOCCI) says businesses in the areas where Eskom will cut off power supply will be hugely affected.

NOCCI’s Sharon Steyn says businesses are still battling to survive because of the COVID-19 pandemic.

“Business has been through enough with this COVID- 19. Business cannot continue at the moment. Now, Eskom wants to cut the electricity due to payments that are not being made. People do not have money at the moment because half of them are retrenched. They do not have work. So, I think somewhere here there needs to be a question of ‘can we not look at how we can assist, just to get the people through the COVID-19 first?’ They’re all trying their hardest to be able to get back onto their feet and to get their business going. Now, Eskom wants to go and cut their electricity.”

Businesses are hoping that the issue between Eskom and municipalities will be sorted out before the looming power cuts take place.