City Power cuts electricity to Midrand body corporates amid R40 million debt crisis

A body corporate in Midrand has left its tenants without power due to defaulting payments in electricity services. Picture: File

A body corporate in Midrand has left its tenants without power due to defaulting payments in electricity services. Picture: File

Published 4h ago

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The tenants and owners of a residential complex in Midrand have been left in the dark following discoveries by City Power that their body corporate had been underpaying municipal electricity rates.

City Power also disconnected the electricity of seven defaulting large power users (LPUs) and body corporates on Thursday who owe a combined debt of R40 million in unpaid electricity services.

As the power utility is subject to a debt of R9.6 billion by defaulting customers, it is on an ongoing operation to recover its monies owed due to a growing problem of unpaid electricity bills.

City Power spokesperson, Isaac Mangena, said businesses and locals within the Midrand Service Delivery Centre (SDC) owe R346m of the mentioned debt.

“City Power is deeply concerned about the growing number of customers who are not paying their electricity bills, despite their ability to do so. This includes underpayment, as seen with the targeted defaulters in today’s operation,” said Mangena.

City Power cut off the power supply of three LPUs in Randjespark who collectively owe over a staggering debt of R15m.

Four body corporates were welcomed with unexpected electricity disconnections, as one in Country View faces a debt of R1.5m, another in Halfway Gardens is sitting on a debt of R4.5m, a third Sagewood is owing R6.3m, and one a fourth in Erand Gardens owes R9.1m.

Mangena stated that the body corporate in Sagewood made an immediate payment of R1 million towards its R4 million debt to avoid disconnection.

City Power also confiscated two illegally connected transformers in Floyd Shivambu informal settlement following a recent successful raid.

“These transformers were hidden inside a locked shack, demonstrating the lengths some individuals go to steal electricity. This decisive action to remove the transformers highlights City Power’s commitment to holding residents accountable for electricity theft and illegal connections both of which undermine the reality of services for paying customers,” said Mangena.

He warned that illegal connections would eventually destroy revenue collected by City Power, and especially, electricity infrastructure.

“These unauthorised connections result in overloading, which can lead to the equipment exploding, catching fire and resulting in prolonged widespread outages and delays in repairing damages, and replacing equipment.

“We are continuing to closely monitor this area and others, and actively engage with law enforcement agencies to assist with our ongoing efforts to tackle the growing problem of legal connections," said Mangena.

He also urged residents within the City of Johannesburg to refrain from defaulting payments in municipal rates in order to avoid disconnection.

“It is for that reason that we have intensified our revenue collection strategy, with two outreach operations per quarter at each SDC. These major cut-off operations are carried out weekly, helping to reduce the level of arrears and ensure that customers fulfil their financial obligations,” said Mangena.

The Star

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