Western Cape Municipalities Score Major Debt Relief From Eskom
The Western Cape Government has announced a significant win for several of its municipalities, securing a debt write-off for the money they owed Eskom , Cape town Etc reports.
This move, which clears a third of the total debt owed by the region, is expected to free up resources for essential services and community development.
Four local municipalities have qualified for a total of R93.1 million in debt relief, including:
- Matzikama R37.7 million
- Cederberg R15 million
- Kannaland R14.8 million
- Beaufort West R25.6 million
Western Cape Minister of Local Government, Environmental Affairs and Development Planning, Anton Bredell, praised these municipalities for their financial discipline, which has allowed them to benefit from this substantial reduction in debt.
Minister Bredell highlighted that these municipalities, especially the smaller ones, will be able to use the freed-up funds for critical community needs rather than continuing to pay off past Eskom debt. He encouraged the municipalities to remain focused on meeting the criteria to have the remainder of their debt written off in the next two years.