Update: Tshwane Mayor says R7.3 million unpaid electricity bill is with landlord and not Shoprite Arcadia

*This story has been updated as new information has come to light*

The City of Tshwane has continued with its rigorous initiative to recover over R16 million in unpaid electricity by disconnecting power to several major establishments, including the well-known grocery chain, Shoprite.

The aggressive revenue collection campaign took place on Monday, led by Tshwane Mayor Nasiphi Moya, who was accompanied by a small contingent from the Tshwane Metro Police Department (TMPD). 

The campaign targeted Shoprite store in Arcadia, which has reportedly racked up an astounding debt of over R7.3 million.

Mayor Moya expressed her frustration, stating, "They know what they need to do; they need to approach us and make a payment arrangement if they can't afford their bill. Big businesses must do the right thing; they must learn to comply. More and more, we are realising that they have been too relaxed and hardly do the right thing."

However, Moya later clarified the situation. 

"KNG Properties has reached out to our teams with intention to settle. They've clarified that they are the client. I apologize for the misattribution and appreciate the correction - the issue lies with their landlord, not Shoprite."

The team also went to the Sheraton Hotel which owes approximately R1.4 million. This is not an isolated occurrence; the hotel has faced electricity disconnections several times in the past due to its inability to maintain payment agreements with the municipality.

"We’ve switched the hotel off many times before, but they still refuse to honour their payment agreements with the city," Moya added, disclosing that the hotel management attempted to make a payment arrangement upon their arrival.

Continuing the campaign, the team visited the Bothongo Plaza, a prominent 17-storey building that, at one time, served as an office for the municipality at a monthly rate of R5 million. The building currently owes over R5.9 million.

Meanwhile, the Homii Building was also targeted; despite paying R350,000 towards a R2.1 million debt, the municipality proceeded with the disconnection, as the amount was deemed insufficient to settle the outstanding bill.

In a notable contrast, the manufacturing company Powertech Transformers in Pretoria West responded by immediately settling a R1.1 million debt upon the arrival of Mayor Moya and her team.

Moya highlighted the municipal debtor's book, which presently stands at a staggering R29 billion, underscoring the urgent need for reform in debt recovery methods.

sinenhlanhla.masilela@iol.co.za

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