However, the Kimberley-based local authority finds itself in breach of the agreement for only paying partial amounts for July and August.

“To date, the municipality has for the past ten months paid R1.266 billion in repayments towards Eskom since the inception of the debt relief programme, drawing National Treasury’s endorsement for efforts undertaken,” said Sol Plaatje municipal spokesperson.

'We are extending our gratitude to all ratepayers who are responsibly and dutifully paying'

As part of the municipality’s plans to repay the debts owed, it’s been engaging with all debtors. Household debt amounts to R2.229 billion, businesses owe R678 million, and government R871 million, totalling R3.897 billion.

The municipality has yet to share the recovery plans for the money owed and plans to share it with the public in due course. “We are extending our gratitude to all ratepayers who are responsibly and dutifully paying for their municipal services and urge those in arrears to help us attain financial stability.”

As of Monday (30/9), Sol Plaatje owed Eskom R1.069 billion exclusively for bulk electricity, representing a fifth of the total R5.169 billion owed by Northern Cape municipalities, as of June 2024.

According to the agreement, if a municipality fails to comply during the duration of the municipal debt relief programme, the benefits of the relief will cease and the municipality must immediately start repaying its Eskom arrears, interest and penalties.

“The municipality was afforded two opportunities to pull back from the agreement but unrealistic optimism overpowered the black and white details of the municipality’s dire financial circumstances,” said DA Cllr Chris Whittaker.

'Taking all necessary steps'

The DA also mentioned that they will be taking all necessary steps to ensure that the municipality complies, as well as suggested that all next service delivery and budget implementation plan reports be submitted to committees prior to being tabled in council.

OFM News/Casey-Lee Anthony cg