ESKOM TAKES OVER ELETRICITY REVENUE COLLECTION IN MAP

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By Libuseng Nyaka

QWAQWA- Deputy President David Mabuza has disclosed  that Eskom will take over  billing and distribution  of electricity in the  Maluti-a-phofung (MAP), local municipality and process are at final stage.

Mabuza said this  while responding to the questions  in the National Council of Provinces  on Tuesday. .

“Eskom and Maluti-a-phofung will sign a service delivery agreement by not later than two weeks. Today we have seen the proposed of service level agreement between the two and we agreed with them, that is why I am confident that people of Maluti-a-phofung will receive electricity. The honours is upon them now to pay for these services that they receive,” explained Mabuza

Outlining how  the proposed  service level  agreement is going to work between Eskom and Maluti-a-phofung , Mabuza said  national  government has intervene with the understanding  that building of capacity is a priority.

 “The intention of service level agreement is to allow Eskom to take the distribution of electricity, of course collect revenue after that, Eskom will give municipality what is due to them out of the revenue collected and also take the revenue that belongs to Eskom.”

He said there will also be skills transfer from Eskom to municipality officials  to enable the municipality to maintain their infrastructure at  the end of service delivery agreement which expected to take four to five years.

“In the process we will try to maintain the infrastructure but also to capacitate workers in the municipalities. The service delivery agreement is for a particular period and not going  to be for  ever. The  distribution of energy and water is the function that belongs to the municipality,” said Mabuza.

Maluti a Phofung main offices.

Responding to  the concern about small business in the area who rely of selling electricity as street vendors when Eskom take over, Mabuza said the electricity vendors and small business in the area are the once who have been advocating for Eskom to take over.

He said the  arrangement is not forever but it will only take four to five year when municipality employees would have been capacitated with skills to maintain their infrastructure.

 “These electricity vendors and some of the small businesses in the area are the once that have taken the municipality to court, because the municipality was failing  to supply electricity due to the  standoff between the municipality and Eskom. They were advocating for Eskom to deliver electricity direct  and this is going to happen.”

A court order had previously been granted by the high court in Pretoria allowing Eskom to act as an agent for Maluti-a-Phofung after residents approached it. 

As from March 2021 the municipality owed Eskom 5.9 billion of unpaid debt.

Reacting to the impact caused by non-payment of services consumed by residents Mabuza had this to say.

 “The impact of non-payment for service that are consumed is very huge because the municipality is unable to maintain the infrastructure because of stolen electricity and water. When people are not paying that means the water boards cannot continue to bring water because they must employ people and maintain system. This principle of not paying for services is the challenge that we must overcome an we are calling upon our people to real pay for services.”

He promised that government will do it’s part by installing smart meters to ensure what people pay is equivalent to water or electricity consumed as it has been a source of conflict.

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