They embarked on a collection operation on Thursday, 14 November 2024 in the Lenasia Service Delivery Centre (SDC).
For the day the team had gone to 10 businesses and Large Power Users (LPUs) which have an outstanding collective debts of R60 million had their power disconnected
The operation is part of the ongoing issued that the utility had been facing with unpaid high electricity bills and non-compliance in the region.
“The Lenasia SDC is facing a significant arrears issue, with customers owing a total of R851 million. This area has one of the lowest compliance rates, and City Power is deeply concerned by the increasing number of businesses and LPUs that continue to use electricity without settling their bills, despite their ability to pay,” said City Power’s spokesperson Isaac Mangena
“A well-known petrol station in Eldorado Park that owed R3 million was one of the defaulters that was disconnected. The station neglected to settle its overdue sum in spite of numerous requests for payment arrangements. After cutting off a second petrol station that owed R7.9 million, our specialists found that the station had unlawfully reconnected.” explained Mangena
He further stated that a Level 3 disconnection was implemented, and the business involved would face penalties for the illegal reconnection. This disconnection is part of City Power's broader strategy to combat illegal connections, which not only place a financial strain on the utility but also pose serious risks to the stability and integrity of the electricity grid. These actions are necessary to protect the system from further damage and ensure a reliable power supply for all customers.
In addition to disconnecting certain businesses, City Power also targeted a mortuary in Nancefield with an unpaid bill of R8.2 million, a shopping complex in Lenasia Extension 1 with an outstanding debt of R3.7 million, and apartments with an outstanding debt of R1.5 million. In order to protect the stability of the city's electrical supply, City Power implemented these disconnections as part of a larger initiative to handle significant arrears and make sure all customers pay their bills.
City Power also targeted a shopping complex in Lenasia Extension 1 with an outstanding debt of R3.7 million, apartments with an outstanding debt of R1.5 million, and a mortuary in Nancefield with an unpaid bill of R8.2 million, in addition to disconnecting specific businesses. As part of a broader effort to manage huge arrears and ensure that all customers pay their bills, City Power performed these disconnections to safeguard the stability of the city's electrical supply.
While on Wednesday, 13 November 2024 they disconnected the Soweto Hotel in Kliptown along with several nearby businesses for non-payment.
Mangena emphasized that the actions taken today are crucial for maintaining a reliable power supply for all customers. He highlighted City Power's commitment to tackling the challenge of non-payment, which directly affects its ability to maintain and upgrade infrastructure, invest in new projects, and ensure a stable electricity supply throughout the city. Addressing these financial challenges is essential to sustaining the utility’s operations and supporting future growth and service improvements.
City Power is currently grappling with a significant R9.6 billion debt from defaulting customers across the city. Despite this financial challenge, the utility has made notable progress in its revenue collection efforts. In the past quarter, it successfully collected over R2 billion, highlighting the commitment of many customers to pay for the services they receive. To combat non-payment, City Power has stepped up its collection strategy, conducting two outreach operations per quarter at each Service Delivery Centre. These large-scale cut-off operations, held weekly, aim to reduce arrears and encourage customers to meet their financial obligations.
City Power is urging all customers, both residential and commercial, to make timely payments and reach out to the utility if they are experiencing financial difficulties. Customers who fail to do so may face disconnections, as demonstrated by the recent case of a residential customer owing R2.5 million, whose power supply was cut off today. By addressing outstanding bills, City Power aims to maintain a stable electricity network and ensure that future service improvements can benefit all customers. The utility encourages those with arrears to contact them and arrange payment plans to avoid disruption of services.
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