Eskom prioritises 14 municipalities for Distribution Agency Agreements to tackle R105bn arrear debt

Eskom has identified 14 municipalities for the implementation of five-year Distribution Agency Agreements (DAAs), a controversial mechanism for dealing with arrear debt owed to the utility that now has Cabinet approval. Acting group executive for distribution Agnes Mlambo confirmed in a briefing to lawmakers that the arrear debt owed to Eskom currently stood at R105-billion, with the 14 municipalities representing 58% of this outstanding debt.
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Eskom gets support for arrear mechanism to tackle municipal debt

Engineering News editor Terence Creamer discusses the growing problem of municipal arrear debt owed to Eskom; the support Eskom has received for its Distribution Agency Agreement (DAA) mechanism to tackle this problem; and what is likely to happen next.
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