GOOD Statement by Sarah Mabotsa,
GOOD Tshwane Councillor
23 August 2022
Continued financial incompetence could soon lead to Tshwane being plunged into darkness unrelated to any Eskom load shedding.
The GOOD party has learnt of a continued struggle between the city government and Eskom. In a statement released today, Eskom claims that the municipality is in breach of the Electricity Supply Agreement, because of a R1.6 billion bill which it is owed.
The city has opted not to pay the full amount owed, instead choosing to settle its debt in short bursts.
This is surprising given the Mayor’s electricity disconnection stunt pulled earlier this year to force businesses and government departments to pay arrears electricity accounts was hailed as a successful intervention.
MMC for Finance – Peter Sutton – claims the city’s cash reserves have bled dry completely. This situation has lingered on the horizon for some time, thanks to grand mismanagement from both the ANC and DA.
From 2016 onward, the DA led Tshwane managed to obliterate its credit rating and rack up billions in irregular expenditure. The Auditor General noted this in her reports on the city.
When the provincial government placed Tshwane under administration, ANC cadres had no problem in adding to the financial toxicity.
In 2022, with a DA-led coalition majority, the city is once again under critical financial sclerosis. Continued scandals – such as the one involving R88 million for ghost cleaning employees – has not helped. Then there’s the facts: Tshwane is Gauteng’s highest contributor to irregular expenditure, with some R2.7 billion incurred.
There is an exit strategy to this calamity; sensible budgeting and a gauze on the bleed of irregular expenditure.
Media Enquiries:
Sarah Mabotsa, GOOD Tshwane Councillor
Cell: 064 684 8640
Email: smabotsamuthivhi@gmail.com
Dewan de Swardt, GOOD Acting Media Manager
Cell: 072 536 1476
Email: dewands@forgood.org.za