Eskom forced to take control of parts of municipalities

Hanno Labuschagne

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Eskom forced to take control of parts of municipalities

The only effective way for Eskom to get paid by municipalities which owe it billions is for it to completely take over the management of their electricity supply, billing, and payments.

This was revealed in a recent Free Market Foundation interview with Eskom CEO Andre de Ruyter.

In South Africa, municipalities have an exclusive right to supply electricity to businesses and households within their boundaries.
 

TheChamp

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They can't even run their own company properly. This is another disaster in the making.
No, it isn't, despite all their challenges they are in a far much better position to handle this than those disfunctional municipalities. It's also a good thing for residents and businesses to deal directly with Eskom instead of having to deal with a middleman in a form of a municipality that serves no purpose besides taking the money and not giving it to Eskom.

I support this 100%.
 

system32

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They can't even run their own company properly. This is another disaster in the making.
+1
Just like when Eskom wasted R840 million on flats that are worthless


So what they going to do in Soweto - it's an Eskom Direct Customer.
I heard they want to hand it back to CoJ.
 

LazyLion

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No, it isn't, despite all their challenges they are in a far much better position to handle this than those disfunctional municipalities. It's also a good thing for residents and businesses to deal directly with Eskom instead of having to deal with a middleman in a form of a municipality that serves no purpose besides taking the money and not giving it to Eskom.

I support this 100%.
I also support it, but it's just a matter of time until Eskom screws this up as well. There is no saving a company that is already in a death spiral.
 

TheChamp

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I also support it, but it's just a matter of time until Eskom screws this up as well. There is no saving a company that is already in a death spiral.
The can't possibly do worse than the disfunctional municipalities. The most important thing is accountability, we need to do away with anything that seeks to confuse the lines of accountability, this is a very good start.
 

system32

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I also support it, but it's just a matter of time until Eskom screws this up as well. There is no saving a company that is already in a death spiral.
Eskom can't even do Pre-Paid correctly.
The Pre-Paid system Eskom uses allows stolen machines to carry on printing valid vouchers.
This has been going on for many years.
Costing millions.
The best they can do is ask honest citizens not to buy cheap electricity.
Should have been replaced with a secure online system years ago.

“The use of ghost electricity dispensers started in the early to mid-1990s,”
 

porchrat

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No, it isn't, despite all their challenges they are in a far much better position to handle this than those disfunctional municipalities. It's also a good thing for residents and businesses to deal directly with Eskom instead of having to deal with a middleman in a form of a municipality that serves no purpose besides taking the money and not giving it to Eskom.

I support this 100%.
Man it's a weird world. Lately I find myself agreeing with you again and again. Well said.

I have no problem with this.
 

Roo!

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I agree with this. The money is for an Eskom product so let them get what is due. What they do with that money once collected is another question altogether.

The only other question is when can we expect these municipality employees to receive their warrants of arrest, their trials and ultimately their jail sentences? They are thieves of the highest order after all and no amount of "I'm ANC/AA/BEE/PDI/USELESS CNUT" will change that simple fact!
 

Budza

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I agree with this. The money is for an Eskom product so let them get what is due. What they do with that money once collected is another question altogether.

The only other question is when can we expect these municipality employees to receive their warrants of arrest, their trials and ultimately their jail sentences? They are thieves of the highest order after all and no amount of "I'm ANC/AA/BEE/PDI/USELESS CNUT" will change that simple fact!

Yup.

Don't hold your breath :(

Another question: when can we expect people to vote in a competent government?
 

thestaggy

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If they don't fvck it up, this is a good move.

No idea why we are paying municipalities as middlemen in the first place.
 

Nemesys

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Dec 7, 2017
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We live in a municipality the owes Eskom some R3.4 billion in unpaid depths
In its ongoing efforts to recover more than R3.4 billion in unpaid debt owed by the municipality has agreed to hand over to Eskom 139 farms belonging to the municipality as security on the debt. The farms are valued at approximately R2.5 billion. The Title Deeds of the farms will be endorsed in favour of Eskom until the debt dispute between Eskom and the municipality is finalised.

This agreement has been made the order of high court in the Free State division. This step on the part of Eskom is a result of the repeated failures by the municipality to adhere to its payment obligations to Eskom for the bulk supply of electricity.

So I would rather pay Eskom directly for what I use and be assured that I am supplied with electricity load shedding and all rather than face the possibility of no supply at all when Eskom finally decide that it can no longer supply this municipally with power.
 

Gazg

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Nov 29, 2017
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Never going to happen.........the selling of electricity by Municipalities is too much of a cash cow to give up. They won't just hand that over.
 
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