WATCH: Disgruntled business owners lose millions because of power outages

Alrode’s biggest companies B&I Polycontainers and Convertacor have lost millions of rand’s worth of production due to constant power outages in Alberton.

The two companies running 24/7 operations are but two of many production companies that are constantly affected by power failures and have suffered major losses as a result of this.

Convertacor manufactures and converts closure liners, also offers wadding, pre-cut liners and slit material in reel form.

Eckhardt Retief, general manager of Convertacor, whose clients are in pharmaceuticals, cosmetics, dairy, food and beverages, told the RECORD that they rely mainly on electricity.

“I lose thousands whenever there is a power outage because I’ll still need to pay my employees for the hours that they have not worked for. We have massive machines that rely on consistent power to operate. After an unplanned outage, it takes us hours to heat up machines, which take up a lot of power,” he said.

He said they lose about R6 000 of raw material that they throw away each time they have an outage.

“We have had 15 power failures this year already, ranging from one hour to three days without any explanation. Our account alone runs up to R200 000 per month just on electricity and rates. After an outage, we will then have to work overtime trying to catch up on the work we lost,” said Retief.

WATCH: A video showing heavy machinery operating at Convertacor

Lack of communication

Retief also expressed his dissatisfaction with the lack of communication from the City of Ekurhuleni’s customer care centre (CCC).

“When we phone Council, they mostly tell us these outages are caused by cable faults or some other reason. We get the same treatment like an ordinary resident would often receive when complaining about outages from home,” he said.

In an attempt to lighten the load on the grid, amid ongoing power failures, he opted to install 180 kilowatts of solar panels the previous year.

“We just ask that if there’s power failure we should at least have direct communication regarding this. If they alert us in time to expect power outages, this will help us plan to avoid having to face major losses. These outages delay us and make us lose business,” said Retief.

Loss in business

Alrode’s B&I Polycontainers, a plant focusing on making plastic bottles for the chemical, pharmaceutical, automotive and cosmetic industry, also echoed the same sentiments.

Vaughan Brown, managing director of B&I Polycontainers, told the RECORD that the least amount that they had to pay for electricity month is R353 000.

“The nature of our business makes us use a lot of electricity. And not having power makes it impossible to keep the company sustainable.

“It is not as if we are not paying our electricity bills; therefore, we do deserve service delivery just like everyone else,” he said.

He recalled that in one incident they had seven power failures within 12 days.

“We have to pay more on electricity costs because we have to start up the factory each time there’s an outage and we draw in more power every time we restart. My vision is to create jobs and keep the business running smoothly, but outages make it difficult for us to achieve that,” said Brown.

He also said over 230 people he employs, most from surrounding areas, are also affected by these outages.
Brown reiterated that the CoE needs to improve its infrastructure and also have direct lines of communication whenever there are unplanned outages.

A word from the City

When contacted by the RECORD, Solly Mashabela of CoE, extended an apology for any inconveniences caused.
“The City of Ekurhuleni is aware of power outages affecting parts of Thokoza and Alrode due to substation equipment fault. Technicians are attending to the problem,” he said.