Lesufi wants to write off Soweto's unpaid R5bn Eskom bill

Gauteng premier Panyaza Lesufi is on a mission to get the R5bn owed by Soweto residents to Eskom written off.

Lesufi visited Zola 3 in Soweto this week where he addressed the community on electricity and safety challenges in the area.

Community members from neighbouring parts of Soweto voiced their grievances on several concerns, including electricity, safety, high drug use, and a lack of proper housing.

They expressed frustration with Eskom for cutting off their power due to nonpayment. 

Panyaza said Soweto's electricity problems would not be resolved until the debt is removed.

He asked residents who could afford to pay for services to do so.

“Until we remove the debt of electricity in Soweto, we are not going to resolve the problem of electricity in Soweto. But we can't just remove the debt. We must agree on a process and it's very simple: protect those who are unemployed and elderly who can't pay, but ensure those running businesses in our township pay. 

“We can’t hide behind the poor when you are employed or you run businesses in our township and that's the process we must undertake without fear or favour,” said Lesufi.

Speaking to the media, the premier said the government would look into removing illegal connections so that when the debt is resolved communities don't recreate it.  

He said if the government takes over Eskom's debt Eskom should write off the debt of poor communities.

“The minister of finance went to parliament and said this government is taking over the debt of Eskom and our view is, if this government is taking over the debt of Eskom, by extension Eskom must remove the debt from our communities because the state has taken that particular debt,” said Lesufi.

“We can't remove the debt forever. Communities that can pay must be given the opportunity to pay and agree on a process — do they want to pay through prepaid, or do they want to pay through flat rate?”

Last year, finance minister Enoch Godongwana said the government would be taking on “a significant portion” of Eskom’s R400bn debt to ensure the power utility's long-term financial viability.

Godongwana said he would release full details of the Eskom debt plan when he presents the 2023 budget.

“For at least a decade, we have spent billions of rand supporting Eskom, with limited improvements in the reliability of the electricity supply or the financial health of the company. 

“The debt takeover, once finalised, together with other reforms, will ensure that Eskom is financially sustainable. The programme will allow Eskom to focus on plant performance and capital investment and ensure that it no longer relies on government bailouts,” he said.