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Power issues not our fault, says developer

An initial agreement was made that is supposed to relieve pressure on the overloaded Salt Rock infrastructure with a new substation, apparently to be built by the KwaDukuza municipality.

Several legal battles between local developers and the KwaDukuza municipality are underway, surrounding the ongoing electricity crisis in Salt Rock.

Developers that were initially part of a consortium meant to solve the power problems are apparently unhappy with an agreement put forward by the KDM.

Details of the initial agreement are sketchy, but several local developers were involved in the multi-million deal. The deal was supposed to relieve pressure on the overloaded Salt Rock infrastructure with a new substation, apparently to be built by the KwaDukuza municipality.

The group of developers, which apparently including Brettenwood Coastal Estate, Mount Richmore Village Estate, the North Global Group, Dunkirk Estate, Tanglewood, Nature’s Glen, Zululani and the Tiffany’s Shopping Centre were reportedly meant to contribute to a cable, which would be linked to the new substation.

But the deal appears to have collapsed, leaving the community totally in the dark.

Following rumours that negotiations stalled when Brettenwood Coastal Estate pulled out of the deal, Hulett Development Company (HDC) directors Adam Watson and Keith Anderson denied that Brettenwood had ever been party to the second agreement.

Watson and Anderson told the Courier that the HDC entered into a service level agreement with KDM in 2004, which it has every intention of upholding.

According to Watson, this was when KDM initially identified an electricity problem in the area. The service level agreement saw Brettenwood Coastal Estate allocated a certain amount of power.

Watson’s predecessor had heard of a consortium of developers forming to work with the municipality in April 2010, and asked if Brettenwood could join.

“A study was completed at Brettenwood to determine how much power the estate uses. The final figure was a fraction of our municipal allocation,” said Watson.

The municipality then apparently produced the agreement between itself and the consortium, which Brettenwood elected not to sign.

“There was a conflict between our initial service level agreement and the new agreement.

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