Question NW145 to the Minister of Cooperative Governance and Traditional Affairs

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07 April 2016 - NW145

Profile picture: Mileham, Mr K

Mileham, Mr K to ask the Minister of Cooperative Governance and Traditional Affairs

(1)Whether any municipalities have been furnished with notifications by (a) Eskom and/or (b) any water board to notify them that the supply of electricity or water as the case may could be cut off due to non-payment; if so, (i) which municipalities are affected, (ii) what amount is owed to the relevant utilities by each specified municipality as at 31 December 2015 and (iii) what detailed steps are being taken to avert the crisis? (2) whether he will consider provincial and/or national intervention in the defaulting municipalities in terms of section 139(5) of the Constitution of the Republic of South Africa, 1996, for a failure to meet their financial obligations; if not, why not; if so, what are the relevant details?

Reply:

(1) (a) Eskom has issued nine public notifications of partial disconnection of electricity supply by 31 December 2015. (b) There are no municipalities that have received notices from the Waterboards due to non-payment.

(ii)The following municipalities are affected have been issued with disconnection notices by Eskom. The detailed breakdown of debt owed by each is illustrated in the table below:

PROVINCE

MUNICIPALITY

TOTAL DEBT OWED R’000 (Million)

Eastern Cape

Gariep

R56.8

 

Maletswai

R59.2

 

Nxuba

R43

 

Ikwezi

R13.9

Northern Cape

Kha-ima

R5.7

 

Dikgatlong

R23.1

 

Ubuntu

R16.8

 

Thembelihle

R22.7

 

Magareng

R17.5

(iii) Aligned to the approach taken by the Department of Cooperative Governance and Traditional Affairs, (COGTA) Public Enterprises (DPE) and SALGA, Eskom in conjunction with the national task team is visiting affected municipalities, as well as those that were disconnected in December 2015 and January 2016. The objective is to assess the challenges faced by the municipalities and provide Eskom with the opportunity to enter into sustainable payment arrangements.

(2) I have not yet considered an intervention in the defaulting municipalities, in terms of section 139(5) of the Constitution, the power to intervene in municipalities rests with the relevant provincial executives. It is only when a provincial executive cannot or does not adequately exercise the powers or perform the functions referred to in subsection (5) that the national executive is permitted to intervene in a municipality.

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