Sheraton Hotel among businesses who are taking City of Tshwane to court over cut services

South Africa - Pretoria - 9 February 2022 - Tshwane officials with Acting City Manager Mmaseabata Mutlaneng and Mayor Randall Williams disconnect electricity at the Sheraton Hotel. Picture: Jacques Naude/African News Agency(ANA)

South Africa - Pretoria - 9 February 2022 - Tshwane officials with Acting City Manager Mmaseabata Mutlaneng and Mayor Randall Williams disconnect electricity at the Sheraton Hotel. Picture: Jacques Naude/African News Agency(ANA)

Published Feb 12, 2022

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Pretoria - After the City of Tshwane took a firm step to disconnect electricity and water to government departments and commercial properties who have defaulted on their municipal accounts, some businesses have approached the courts to interdict the municipality from cutting services.

On Friday, Sheraton Hotel took the City to court on an urgent basis, but the matter was struck off the roll due to non-urgency.

On Wednesday, when the City disconnected services from the hotel, hotel manager, Pascal Fouquet, pleaded for leniency for the hotel whic owes the City over R23m for water, electricity and rates.

"The last two years we have not been making money because of Covid-19. We tried to make arrangements with the City but what they want we cannot afford to pay. If you do this then what happens to the people who need their jobs?"

Tshwane Mayor Randal Willaims said businesses around the world have endured the strain of Covid-19 and so did the municipalities but they adjusted and found other ways to manage their businesses.

Tshwane mayor Randall Williams and acting city manager Mmaseabata Mutlaneng lead officials to the Sheraton Hotel to disconnect water and electricity over non-payment. Picture: Jacques Naude/African News Agency (ANA)

Earlier, the City was ordered to re-install water and power at the Club Crossing Shopping Centre, which is said to owe R2.4m for services.

In a statement, the City said it was ambushed by the urgent application, saying papers were filed 20 minutes before the case was heard.

As a result, the City did not file responding papers.

"While a company may dispute an amount that is charged, that does not place the whole account in abeyance and allow for non-payment on the bill. Nor does it allow for non-payment on future billings as well.

"What we have noted is that now, in an effort to maintain the status quo, they are filing legal papers at exceptionally short notice in order to try and force the courts to rule in their favour on an interim basis so that they have their services reconnected."

The municipality also added that K Carrim Commercial Properties, also served papers on the City less than an hour before the case sat and were unable to respond.

“We will most certainly be contesting this. We anticipated that there would be pushback regarding this campaign and we ensured that we have dedicated legal teams available so that we can present the City's case on any of the disconnections that are challenged.”

The City emphasised that the revenue-collection campaign is not going to be a once-off hence they are prepared to defend the disconnections that will be implemented at every turn.

Next week, the City of Tshwane said it would have be targeting estates and complexes who owed it.

Pretoria businesses, residents, government entities and government departments, owe the City over R17bn.

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