TWO debt repayments to Eskom have been made by the Enoch Mgijima Local Municipality’s municipal manager in agreement with a court order made last year.
In a media statement, Ken Clark, chairperson of Let’s Talk Komani, commended EMLM on the start of the debt payments to Eskom.
“We start this year commending the Enoch Mgijima Local Municipality for sticking to its Eastern Cape High Court order regarding the debt repayment agreement with Eskom and our business members; thus having ensured that Eskom continues to be restrained from interrupting bulk electricity supply to the municipality’s towns which include Komani, Tarkastad, Molteno, Hofmeyr, Sterkstroom and Whittlesea,” said Clark.
Clark said the Let’s Talk Komani committee is in possession of the proof of two EMLM debt repayments to Eskom made by Municipal Manager, Nokutula Mgijima.
An amount of R23 million was paid in late December and R144, 474 in early January.
By the agreement reached with Eskom and made an order of court in Makhanda last year, it was incumbent on the MM to provide a local business with these payment receipts.
By the end of March this year, EMLM must have paid Eskom the first instalment of R30 million in terms of the repayment plan, together with its monthly current account. According to Clark, the total debt stands at just over R242 million now and must be paid in full to Eskom by July 2022.
“Among our 27 non-governmental participants, we are grateful to business for having taken the role of holding the municipality accountable for its Eskom debt and thus ensured that the town has the bulk energy necessary to secure employment and the services of hospitals, schools and charities which take care of our most vulnerable,” said Clark.
“While relieved that the town continues to keep its lights on, we are mindful that the EMLM’s equitable share was used to pay Eskom and is unavailable to provide sorely needed basic services to poor households, and to perform basic administrative and governance capacities.
“The equitable share is a financial allocation from national Treasury to ensure municipalities with limited own resources can perform core municipal functions,” said Clark.
Clark said that they are urgently seeking a meeting with the mayor to address what their community leaders, with a large professional skill set, could do to assist the mayor’s management team to get the EMLM back onto its feet.
