Eskom Debt Relief: Gauteng Municipalities Urged to Seek Application

The Gauteng Provincial government urges municipalities to have their debt with Eskom scrapped strategically to address mounting challenges in debt management.

As per SABC News, the urgent call to action stems from the significant debt municipalities across the country owe to Eskom, which totals around R57 billion. This predicament has prompted the Gauteng government to emphasise the need for municipalities to seek relief by scrapping their Eskom debt.

Gauteng Premier Panyaza Lesufi articulated this stance during his address at the Energy Indaba at the Gallagher Convention Centre in Midrand. He underscored the province’s firm position that municipalities, just as the National Government has done for Eskom, must pursue avenues to erase their debt.

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Lesufi reiterated, “We are also pushing very strongly that the debt that is owed to Eskom must be scrapped because Eskom’s debt has been scrapped by National Government. So we can’t scrap your debt and people that you owe, you are not scrapping.”

He highlighted Eskom’s initiation of a process in which municipalities are encouraged to apply for the scrapping of their debt. The Premier highlighted the dual effort to urge municipalities to submit their applications while simultaneously exerting pressure on Eskom to respond promptly to these applications.

The Gauteng Provincial government’s call to alleviate municipalities’ financial burdens through debt scrapping underscores the commitment to mitigate the consequences of mounting debt, thereby facilitating the delivery of essential services to citizens.

Also read:

Gauteng Premier Lesufi calls on Eskom to write off municipal debt

Picture: Twitter / CityPowerJhb

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