KEY POINTS
- Cederberg Municipality has received a second R14.9 million Eskom debt write-off under a National Treasury debt relief programme.
- The municipality’s total relief now stands at R29.9 million as part of efforts to eliminate its inherited R47 million Eskom debt.
- Officials say improved financial discipline and compliance with programme conditions have helped the municipality progress toward full debt clearance.
The Cederberg Municipality has received a second debt relief write-off of R14.9 million from National Treasury as part of an ongoing programme aimed at helping local governments reduce outstanding debts owed to Eskom.
The latest approval brings the municipality closer to resolving its inherited electricity arrears, which were previously estimated at about R47 million.
Officials say the development marks another step toward restoring financial stability and improving service delivery in the local authority.
According to the municipality, the first tranche of debt relief worth R14.9 million was approved on January 16, 2025.
With the new write-off, the total relief granted to the municipality under the Eskom debt relief programme now amounts to R29.9 million.
The programme is part of a broader National Treasury initiative designed to assist financially distressed municipalities that meet strict reform and repayment conditions.
Remaining Debt Still Under Review
Despite the progress, it remains unclear exactly how much Cederberg Municipality still owes Eskom after the latest relief package.
However, officials indicated that about R14 million remains outstanding, which the municipality is working to clear under the conditions of the programme.
The municipality is expected to continue meeting performance and compliance requirements before the final portion of its debt can be written off.
Executive Mayor Azrial Scheepers said the debt relief was the result of improved financial management and responsible governance within the municipality.
He noted that adherence to strict financial discipline has helped the municipality regain stability and qualify for continued relief under the programme.
Municipal Manager Gerrit Matthyse also said the local government had strengthened credit control measures and improved financial oversight.
According to him, these reforms have also enabled the municipality to better support indigent households while working toward clearing its arrears.
