Opposition party, the Democratic Alliance (DA), on Monday expressed concern that the Ditsobotla municipality had defaulted on its agreed R2.5-million a month downpayment to parastatal Eskom to prevent power supply to the area being cut.
The municipality owed Eskom nearly R121-million.
Eskom spokesperson Khulu Phasiwe confirmed to Engineering News Online that the municipality was on the utility’s list of municipalities that owed Eskom money and that power supply to Lichtenburg may be interrupted.
In a statement, the DA said the municipality had agreed to repay the debt using a portion of its equitable share from the provincial government – money given to municipalities to meet socioeconomic imperatives and provide basic services to the poor.
The DA would write to MEC for Local Government and Human Settlements Collen Maine to demand clarity on why the agreed monthly down payments to Eskom were not honoured, while seeking clarity on why the Revenue Fund was being used to repay Eskom, while residents continued to pay for electricity.
The DA was informed at a council meeting on September 9 that the power might be cut this week. According to the agreement signed in April, Eskom had the right to take legal action against the municipality and cut electricity supply if the agreement was not honoured.
“Electricity cuts will have a negative influence on the operation of small businesses and is an unnecessary inconvenience to residents who pay their dues. Lichtenburg also hosts big cement mines and various agricultural companies that might be influenced.
“This town was recently hit by a severe hail storm, where anchor businesses and small businesses alike suffered severe damage. Being left without electricity will deal a further blow to this town's economy,” the DA said in a statement.
It added that Lichtenburg was reliant on boreholes for its water supplies, which would not operate if the power were cut. “While areas such as Itsoseng have reservoirs for water supply, only one is functional and a newly erected one has never worked owing to cracks in the reservoir,” the DA lamented.
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