Cape Town – Metrorail in the Western Cape has averted a crisis after receiving notice from Eskom of its intention to cut its power supply due to unpaid bills.
Regional spokesperson Riana Scott said Metrorail has come to an arrangement with the power utility.
"The region acknowledges receipt of Eskom's notice, confirms that it had been elevated to the highest authority within Prasa (Passenger Rail Agency of South Africa) and the matter has been resolved," Scott said on Wednesday.
"An arrangement was made and there has been no impact on commuters."
Scott said: "We remain confident that arrangements will be made timeously to settle matters satisfactorily as Prasa is committed to meet its financial obligations.
"At this stage it has no effect on customers and we will make contingency arrangements should it come to that.”
Eskom confirmed that it had disconnected one of Prasa's supply points, Eersteriver Traction, at 10am on Tuesday, "due to non-payment of the arrears on their account", News24 reported.
"Prasa subsequently paid the arrears amount during the afternoon and we restored their supply at 17h04 on the same day after receiving proof of payment," Eskom said.
"There is no payment arrangement in place in terms of paying off their arrears. They have paid the outstanding amount due and their account is now up to date."
Transport Minister Fikile Mbalula last week admitted that Prasa has suffered from many years of mismanagement and deteriorating corporate governance, resulting in an efficient commuter and passenger rail service.
Prasa administrator Bongisizwe Mpondo said the reality they were faced with “is that Prasa is a broken business, and experienced systematic erosion of value which has taken place over a number of years”.
“This, I must say, is at odds with our stated intention to provide value to our commuters.”