The recent announcement by Eskom regarding its legal action against City Power over outstanding funds has sparked deep concern and uncertainty among residents and businesses in Johannesburg. With Eskom claiming just over a billion Rand owed to them, and City Power stating Eskom owes them R593 million, the situation demands urgent clarity and resolution.
As the two entities enter arbitration, the City of Johannesburg faces mounting challenges in maintaining a reliable power supply. Despite assurances from the Mayor of Johannesburg that City Power is on an upward trajectory, recent failures in substations without corresponding load shedding and recurring service disruptions paint a troubling picture.
Councillors serving on the section 79 Environment Infrastructure Services portfolio have long sought transparency regarding the financial dealings between City Power and Eskom. Previous meetings highlighted disputes between the entities, yet details remained opaque, leaving stakeholders with more questions than answers.
The current financial predicament, with City Power reportedly losing a billion Rand monthly and carrying a staggering R14 billion overdraft as of February 2024, underscores the urgent need for accountability and decisive action. Residents of Johannesburg deserve to know how their hard-earned rates are being utilized and why the city finds itself in yet another precarious position due to mismanagement.
It is imperative that City Power provides a full and accurate account of its debt to Eskom and outlines concrete measures to mitigate potential supply disruptions. Transparency and accountability are non-negotiable in restoring public trust and ensuring the stability of essential services.
The Democratic Alliance (DA) in Johannesburg stands firm in its demand for transparency and accountability from both Eskom and City Power. The well-being of Johannesburg’s residents and businesses depends on it.