The Democratic Alliance (DA) in Johannesburg has supported the proposed R3.8 billion KfW loan for City Power after successfully pushing for stricter oversight, accountability, and financial safeguards.
The DA warned in Council that debt should never be taken lightly, especially when residents are already dealing with collapsing infrastructure, rising costs, and poor service delivery.
Before supporting the loan, the DA raised concerns that the original report lacked enough detail and proper protections on how the money would be used.
As a result of DA recommendations:
• The loan will now only fund specific infrastructure projects listed in the approved annexures.
• Additional monitoring and auditing measures were added.
• The German Government and Project Coordinator will oversee implementation.
• Executive salary increases and performance bonuses at City Power will be frozen for at least two years.
The DA believes Johannesburg residents deserve functioning electricity infrastructure, but also proper accountability for every rand borrowed and spent.
The DA will continue holding the ANC-led coalition government accountable to ensure this money is used properly and delivers real improvements for residents.