South African municipalities owe Eskom billions of rands

Eskom is struggling to collect arrears from the country's municipalities. The shortfall could jeopardise Eskom's financial recovery and the reduction in blackouts. Eskom, which has just celebrated 100 days without a blackout, must invest massively in its network in order to avoid blackouts, which seriously affect the country's economy and social life. According to Eskom, the major municipalities, including Johannesburg, have the means to pay, but are deliberately opting for more politically expedient expenditure than clearing up unpaid electricity bills.