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Thread: Why we can't pay Eskom: Top ten defaulting councils share financial horror stories

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    Default Why we can't pay Eskom: Top ten defaulting councils share financial horror stories

    https://www.fin24.com/Economy/Eskom/...ories-20180613

    Spiralling debt, compounded revenue losses, a chain of non-payment and 'ghost vending' – these were just a few of the issues listed when Parliament's Standing Committee on Public Accounts heard from the municipalities not paying their debts to Eskom.

    The top ten defaulting councils were in the hot seat before Scopa on Wednesday morning, explaining why they continually failed to settle their debts to the embattled power utility.

    They cited structural challenges in their own financial practices as well as historical financial constraints. They also blamed their own communities for refusing to pay power rates, and in some cases, said the parastatal had unrealistic expectations of their ability to pay their debts.
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    Last edited by MickeyD; 14-06-2018 at 08:59 AM. Reason: Posting guidelines
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    Quote Originally Posted by lafrica View Post
    they (criminals ) are just trying to make a living .

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    Those councils concerned - do tell me what kind of car the mayor drives, and what other perks is present in the renumeration package for employees.

    Also what other expenses do they have.

    And have they started to address the issue of unwanted overheads yet, and if not, why not?
    500th anniversary of the Protestant Reformation has passed.

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    Quote Originally Posted by daveza View Post

    Not once in the article do they mention cutting off electricity.

    Don't pay, continue to get electricity - how difficult is it to understand that this is not a solution.

    If I don't pay I will be cut off so why are the rules different.
    Some have been cut, at least with artificial loadshedding (Witbank, Thaba Chweu...). Didn't help pay the debt since they have no money to pay the debt.

    The issue with cutting the electricity is that it really affects the residents who pay, destroys the economic activity and produces nothing good for the future.

    The issue is that some serious projects have been launched to remedy to this situation but the Municipalities, their inefficiencies and their political infighting have killed all hopes of private solutions.

    Councillors themselves (and not ANC for once) don't pay their electricity bills in some of these Municipalities.

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    Quote Originally Posted by The_Librarian View Post
    Those councils concerned - do tell me what kind of car the mayor drives, and what other perks is present in the renumeration package for employees.

    Also what other expenses do they have.

    And have they started to address the issue of unwanted overheads yet, and if not, why not?
    don't bring your logic here!

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    Quote Originally Posted by daveza View Post
    https://www.fin24.com/Economy/Eskom/...ories-20180613



    Not once in the article do they mention cutting off electricity.

    Don't pay, continue to get electricity - how difficult is it to understand that this is not a solution.

    If I don't pay I will be cut off so why are the rules different.
    Illegal connections, 3rd party vendors not paying, people not paying. It wouldn't take much for relatively small municipality to get overwhelmed. Then you have to understand that by killing electricity you will punish people who are paying as well as the non-payers.
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    Quote Originally Posted by Scooby_Doo View Post
    Then you have to understand that by killing electricity you will punish people who are paying as well as the non-payers.
    1. Cut the power...
    2. Inform the people that power will be restored once the illegal power thieves disconnect...
    3. Wait for a little mob-justice to do its thing...
    4. Restore power....


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    Quote Originally Posted by Sl8er View Post
    1. Cut the power...
    2. Inform the people that power will be restored once the illegal power thieves disconnect...
    3. Wait for a little mob-justice to do its thing...
    4. Restore power....

    Has been done.

    Has not worked because as soon as a campaign of disconnection is finished, the thieves reconnect.

    The other issue is the lack of electrical management of the notified maximum demands for example which incurs millions of Eskom penalties per month for some municipalities.

    There are simple solutions which cost 1/1.5 million and would avoid any penalty but the municipalities are always "we have no money" instead of taking a hit in their budget for a little while to save tens of millions a year.

    Not even speaking of the technical losses either.

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    Quote Originally Posted by Sl8er View Post
    1. Cut the power...
    2. Inform the people that power will be restored once the illegal power thieves disconnect...
    3. Wait for a little mob-justice to do its thing...
    4. Restore power....

    Would you go disconnect illegal connections if they were to switch off your area? How would you tell?
    Yeah whatever mate

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    Quote Originally Posted by Sl8er View Post
    1. Cut the power...
    2. Inform the people that power will be restored once the illegal power thieves disconnect...
    3. Wait for a little mob-justice to do its thing...
    4. Restore power....

    Not that simple.
    500th anniversary of the Protestant Reformation has passed.

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    Quote Originally Posted by ForceFate View Post
    Would you go disconnect illegal connections if they were to switch off your area? How would you tell?
    If I knew, sure, but I get what you're saying.
    Unless everybody is in everybody else's business all the time, how would you be able to tell who's "legal" and who's not.


    * Side note: What I posted was more in jest than anything else

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    Any solution that will cost votes are not feasible. Hence we are where we are.
    If you don't know where you are going any road can take you there
    Accuse the enemies of that which you know you are guilty

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    Exclamation One vote One Kilowatt !

    STRANGE
    That these "problems" ONLY seemed to appear AFTER "democracy"
    Sure in the "old days" there were small "problems" here and these
    BUT
    Eskom managed to provide power at affordable rates AND municipalities PAID their bills
    Granted not EVERYONE had electricity
    HOWEVER ....
    Those that DID -- DID PAY FOR IT !
    Last edited by MidnightWizard; 14-06-2018 at 08:27 AM.
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    Quote Originally Posted by MidnightWizard View Post
    STRANGE
    That these "problems" ONLY seemed to appear AFTER "democracy"
    Sure in the "old days" there were small "problems" here and these
    BUT
    Eskom managed to provide power at affordable rates AND municipalities PAID their bills
    Granted not EVERYONE had electricity
    HOWEVER ....
    Those that DID -- DID PAY FOR IT !
    I hope you are not longing for the old days..
    I for one am glad those days are gone. I couldn't quite frankly handle the BS of the former regime and wanted to leave SA.

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    Quote Originally Posted by ArtyLoop View Post
    I hope you are not longing for the old days..
    I for one am glad those days are gone. I couldn't quite frankly handle the BS of the former regime and wanted to leave SA.
    Well, then you should hope that Eskom wins in court against Nersa and get their 19% increase so that you and the rest of us can subsidize the non payers.
    Quote Originally Posted by saor View Post
    saor is a dumbass

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    Quote Originally Posted by supersunbird View Post
    Well, then you should hope that Eskom wins in court against Nersa and get their 19% increase so that you and the rest of us can subsidize the non payers.
    Hmmm... why would I want that. I was referring to the other person's assertion that apartheid was b etter or things were better under apartheid.

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