The City of Tshwane’s Finance MMC, Peter Sutton, says the majority of its debt owed to Eskom is expected to be paid by the end of January.
It follows Eskom’s request that the Department of Cooperative Governance and Traditional Affairs intervene – as the city’s electricity debt has ballooned to R1.4 billion.
Sutton has outlined the problems being faced by the city’s finance department.
“The main problem that we sit with is the liquidity challenge that we are facing. Of course, load shedding is also not helping the situation because more and more people are defaulting, more and more businesses are closing down and our liquidity situation is not improving the way we need it to.”
“So, it is not a deliberate matter, we have opened our books to Eskom. We are not hiding anything but we are actively working to find a financial solution that we need. We will be settling most or the majority of that R1.4 billion by 31 January and continue to find a proper solution and other interventions will also follow,” adds Sutton.
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