Johannesburg – The City of Johannesburg is ready to trade legal blows with Eskom over the power utility’s demand that it settles – within five days – unpaid bills running into billions of rand.
With the City Power in its corner as the “cutman”, the City of Johannesburg is flexing its muscles ahead of the battle and insists the R4,9 billion demanded by Eskom remains in dispute.
A statement made available to The Bulrushes City Power said: “Contrary to Eskom’s claims, there are ongoing disputes regarding overbilling of over R3.4 billion, with a pending appeal and monthly declarations since July 2024.
“The City has repeatedly raised concerns about this continued overbilling, which Eskom has failed to address, placing additional strain on the city’s resources.”
However, Eskom says it has exhausted all efforts to compel the City of Johannesburg to settle the outstanding bill.
The power utility said cutting off electricity supplies to the “City of Gold” was the last resort.
On Thursday, (7 November 2024), Eskom served a notice of intention to interrupt power supply to the City of Johannesburg and City Power at certain pre-determined times of day under the Provision of Promotion of Administrative Justice Act.
Responding to the threat, Joburg authorities said in the statement: “The City of Johannesburg and City Power were deeply concerned by Eskom’s recent public notice announcing its intention to interrupt the electricity supply to the city”.
The statement added: “The City strongly condemns this move as unjust, counterproductive, and potentially harmful to the residents and businesses of Johannesburg.
“The City of Johannesburg has consistently demonstrated its commitment to meeting its financial obligations and has engaged with Eskom to address billing issues.
“However, Eskom has failed to provide clarity on disputed billing charges, forcing the city to seek legal recourse to protect the rights and interests of its citizens.”
City of Johannesburg Group Financial Officer Tebogo Moraka said: “We are committed to ensuring uninterrupted access to electricity for the people of Johannesburg.
“We urge Eskom to retract its public notice and engage in genuine, good-faith negotiations to resolve these matters constructively.”
Eskom’s approach of “pay now and resolve disputes later” can no longer go unchallenged, said the City of Johannesburg, adding, “There is also an option of IGR to resolve intergovernmental disputes which Eskom keeps disregarding”.
The City of Johannesburg said, in consultation with its legal counsel, it will explore all available legal avenues to prevent any disruptions to the electricity supply.
“We urge Eskom to reassess its stance and engage with the City in finding a mutually beneficial resolution,” the City said in the statement released late Thursday, (7 November 2024).
“In the meantime, the City has formally requested that Eskom retract the Public Notice within five days.
“The people of Johannesburg deserve reliable and efficient services, and we will not let Eskom’s actions compromise their well-being.
“We remain committed to serving the best interests of our citizens and will take all necessary steps to protect their rights.”
