MEC stops electricity cuts
Cup would provide an estimated R4.5 billion for Durban from an estimated R27.3bn the country would earn as hosts. Durban’s iconic Moses Mabhida Stadium would be among the host stadiums.
Deputy President Cyril Ramaphosa will lead the delegation, which includes SA Rugby president Mark Alexander, who said SA Rugby is pleased with the support it has received. The committee has asked South Africans to rally behind the bid using the hashtag #SouthAfrica2023. THE GAUTENG provincial government has promised to enter negotiations with Eskom to settle the electricity bills of its struggling municipalities in a bid to avoid power cuts to Emfuleni and Merafong local authorities.
Gauteng MEC for Finance Barbara Creecy made the announcement following a meeting she had with various members of mayoral committees for finance from all Gauteng municipalities. The MEC-MMC of Finance Forum was convened to assess the state of municipal finances, governance and service providers to ratepayers.
Gauteng municipalities owe Eskom a combined amount of R1 billion.
“As the provincial government we are working around the clock with Eskom to finalise a clear payment plan that will be honoured by the relevant municipalities for outstanding debt to the power utility. We are committed to ensuring that we avoid power cuts because this will impact negatively on citizens, businesses and ultimately local economies,” Creecy said. She said the accounts of Midvaal, Mogale City and Lesedi local municipalities were current and within 30 days.
In May, the DA became very critical about the escalating debt of Emfuleni local municipality and they called on Creecy to intervene when Eskom threatened to cut the electricity supply. Emfuleni electricity debt stood at R114 million while they owed Rand Water R214m.
At the time, the DA’s Emfuleni constituency head Kingsol Chabalala said: “Maladministration and poor financial decision making are to blame for the collapse of service delivery in Emfuleni. Schools and clinics will now be placed at risk without water, while the mayor conducts his business in luxury from the Shakespeare Hotel”.
Now Creecy and her team say their latest intervention will ensure that struggling municipalities own up to their debts.
Creecy said revenue collection was still a challenge in municipalities across the metros, which were owed R49 billion.
“The biggest debtors are residents and commercial customers owing municipalities R31.8 billion and R13 billion respectively for services and taxes. Government is the smallest debtor accounting for 3% of the total outstanding amount.
“In order to address household debt, municipalities such as the City of Ekurhuleni and City of Tshwane have embarked on various initiatives to encourage consumers to pay,” Creecy said.