City of Tshwane mayor Nasiphi Moya has confirmed the metro municipality has reached a landmark agreement with Eskom to settle the R6,67 billion historical debt owed to the utility.
Over the years, Eskom has threatened to disconnect the City of Tshwane for failing to settle its debt.
TSHWANE AND ESKOM REACH SETTLEMENT OVER R6 BILLION DEBT
Moya said this agreement, formalised as a court order on 26 November 2024, is a significant milestone in our financial recovery and stability journey.
Moya said the arrangement outlines a structured five-year repayment plan, with the first payment of R400 million scheduled for December 2024.
Additionally, the City has already paid R425 million for arrears for October 2024. A critical condition of this agreement is the timely payment of current accounts within 30 days of billing.
Moya said this settlement signals a turning point, ending years of costly litigation and redirecting their focus toward improving service delivery and enhancing revenue collection
systems.
“My administration is fully committed to honouring this arrangement in full. We will adopt stronger financial governance practices to ensure this never happens again, safeguarding the City’s resources and financial health.”
DO YOU HAVE CONFIDENCE THAT THE CITY OF TSHWANE WILL NOT DEFAULT ON REPAYING ITS ESKOM DEBT?
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