City of Joburg to cut off businesses owing on water and electricity

 ·10 May 2023

Businesses in Johannesburg may have their electricity or water supply cut due to the millions of rands they owe to the city for utilities.

The exact number of businesses facing disconnection is not known. However, the City of Johannesburg said in its statement that hundreds of businesses are at risk of their supply being cut off.

According to the statement, the city’s group finance department will soon roll out its aggressive disconnection drive affecting business customers citywide.

“Pre-termination notices have been sent to all affected customers across the city, warning them about impending disconnections,” said the department.

The director of customer communications for the city’s finance department, Kgamanyane Maphologela, said the city would implement its Credit Control and Debt Collection Policy to recover the debt owed.

“The Credit Control and Debt Collection Policy empower our Credit Control unit to recuperate outstanding debt from customers owing,” says Maphologela.

Maphologela further noted the Credit Control Policy stipulates that if a customer has not fully paid the outstanding amount and an Acknowledgment of Debt Agreement (AOD) is not entered into with the city within the stipulated period, electricity may be disconnected and water restricted or throttled without further notice.

Maphologela added that the city appeals to business customers struggling to service their accounts for various reasons to approach the city, to avoid being cut off by signing an AOD.

“We understand the current and ongoing economic impact on business. We continue to make a call for all our customers not to wait until it’s too late before they approach us,” He said.

“The qualifying customer may conclude an AOD with the city for payment of the outstanding debt in instalments, following business processes determined by the city,” he added.

Maphologela also warns that customers who have illegally connected themselves to electricity and water supply will be cut off and face further legal action against them.

“The illegal connection and tampering with water or electricity supply is a criminal offence, which may result in legal action being taken against offending customers,” said Maphologela.


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