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Prasa seeks to meet with Cape Town officials over its unpaid bills

The municipality said if Prasa did not settle its unpaid bills by Friday, it would disconnect services on Monday.

Prasa administrator Bongisizwe Mpondo addresses a stakeholder engagement forum in Khayelitsha, Cape Town on 23 January 2020. Picture: @PRASA_Group/Twitter

CAPE TOWN - The Passenger Rail Agency is trying to set up a meeting with the City of Cape Town after it threatened to disconnect some of its services due to non-payment.

The city said Prasa was behind on rates and services amounting to about R114 million, of which R98 million was in arrears.

The municipality said if payment was not made by Friday, it would disconnect services on Monday.

Eskom recently disconnected the Western Cape rail network because Prasa did not pay its January bill of R6.5 million within its two-day grace period.

The city said the rail agency had not been paying its monthly bills. This includes property rates, electricity, water and sewage at different properties across Cape Town.

Prasa administrator Bongisizwe Mpondo said his office was arranging a meeting with the city.

He added that it was no secret that Prasa had challenges.

Mpondo said Prasa was strapped for cash because of operations not bringing in the money it needed.

If the municipality decides to disconnect services, it will only affect Prasa's offices and facilities and will have no impact on the rail system.

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