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Eskom laments bad debts by municipalities

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Eskom has asked Parliament to assist it in persuading municipalities to pay their electricity bills.

The entity says bad debts by municipalities are growing and threatening the power utility’s cash flow.

Eskom Acting CEO Phakamani Hadebe says the measures they have taken so far have not worked.

He was briefing Parliament’s Standing Committee on Public Accounts (Scopa) on Tuesday on defaulting municipalities.

Radebe says Soweto alone owes Eskom more than R14-billion.

Radede says the situation is dire and that can’t be hidden. He say it has reached an unsustainable level.

“If you are looking at the debt excluding Soweto, just municipalities… the increase in one year has increased from R9.5 billion to R12.5 billion. That excludes Soweto. That is an increase of 33%,” says Hadebe,

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