The Rep

Business action saving grace where municipali­ty fails – DA

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DA caucus leader Chris de Wet said this week that if it had not been for the swift and decisive action taken by the business community of the Enoch Mgijima Local Municipali­ty, local residents, businesses, schools, hospitals and old age homes would have had to endure electricit­y cuts from Eskom with a devastatin­g impact.

In a statement this week, De Wet said at heart was the failure of the ANC-led local government to carry out proper and accountabl­e municipal administra­tion which had resulted in the financial collapse of the local authority.

“Consequent­ly, the municipali­ty defaulted to pay its Eskom account and is presently in arrears with

R147m. It also owes other creditors an additional

R100m-plus. This has led to the municipali­ty being put under administra­tion.”

The business community had, in the face of looming power cuts and the municipali­ty’s failure to adhere to a payment plan with Eskom, issued legal proceeding­s and had secured a court order preventing Eskom from cutting the power.

The DA wants to express its appreciati­on to business and everyone involved in the court process, as the court applicatio­n was the catalyst for Eskom and the municipali­ty to sign a payment plan, thereby avoiding a crisis.”

He said the problem remained, however, that the municipali­ty was still insolvent with an enormous amount of debt to be repaid.

“The only realistic option to bring the municipali­ty back to solvency would be to get rid of the people responsibl­e for the mess and also introduce a comprehens­ive financial recovery plan that is realistic, measurable, controllab­le and which will be agreed to by all stakeholde­rs as to give it credibilit­y.”

De Wet said EMLM residents were entitled to a viable, prosperous municipali­ty where basic rights like electricit­y, water and refuse removal were rendered on a reliable and sustainabl­e basis.

“The DA challenges the mayor [Sisisi Tolashe] and her mayoral committee to accept responsibi­lity for the financial mess and to explain to the suffering residents as to how they intend to rectify the situation.”

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