City Power is owed a staggering R9.8 billion by defaulting customers across the City of Joburg.
City Power has recovered R3.6 million during a cut-off operation in the Randburg Service Delivery Centre (SDC).
The operation on Thursday conducted in collaboration with law enforcement agencies, focused on 12 high-debt defaulting customers who collectively owed over R36.2 million in unpaid electricity bills.
City Power spokesperson, Isaac Mangena, said R1.4 million was recovered from a shopping centre in Randpark Ridge and R2.2 million from a business park complex in Hoogland, after both establishments had their power supplies disconnected.
“The shopping centre was previously disconnected, but the owner illegally reconnected themselves and erected a barricaded structure around our mini substation, obstructing access for regular audits.
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Cut-off
After ignoring several intervention measures including pre-termination notices to settle their debt, the City Power revenue protection team switched off their power supply point today. Business tenants at the shopping centre were in disbelief when they learned that the property owner had not been paying for services despite them paying for monthly rentals in full,” Mangena said.
Mangena said the property owner was left with no choice but to make a 32 per cent payment towards their debt and entered into a payment arrangement to settle their balance in the next three months.
“Regrettably, the business tenants were left in the dark although found to be making electricity payments to the property owner, who subsequently failed to pay these funds to City Power. This practice negatively impacts the business tenants.
“We condemn this practice with the strongest possible terms, and we urge tenants to hold their landlords accountable for this. Amongst the high debt defaulters included a popular lifestyle business centre also in Randpark Ridge with high profile retail business tenants was disconnected for owing the power utility R9 million,” Mangena said.
Outstanding debt
Mangena added that an independent power and water producer in Hoogland, and two other businesses in Bryanston and Ferndale were also cut off during the operation for owing R4 million, and the other two; R2 million respectively.
“Additionally, another shopping centre and five domestic customers in Bryanston had their services disconnected for non-payments of over 10 million.
“City Power is owed a staggering R9.8 billion by defaulting customers across the City, and of this amount, a significant R650 million is owed by customers within the Randburg SDC area. We continue to make significant strides in revenue collection across the city,” Mangena said.
City Power warned that defaulting customers must settle their debts or face the consequences of having their electricity supply disconnected.
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