Court intervenes in Modimolle-Mookgophong electricity crisis

The Modimolle-Mookgophong Municipality successfully lodged an application for a stay of legal proceedings against the local authority in the Limpopo High Court on Tuesday. This comes after Eskom informed the municipality on 7 May that load shedding will be implemented in the municipal area tomorrow (Friday) due to the municipality’s failure to meet its financial commitments towards the power supplier.
Modimolle-Mookgophong Mayor Marlene van Staden confirmed on Tuesday that a copy of the order will be served on Eskom as a matter of urgency to obtain an undertaking that the entity will not proceed with the interruptions.
“Should Eskom fail to give such an undertaking, the Municipality will proceed to obtain permission to join the application of the Waterberg Business Chamber against Eskom which will be heard in the High Court on 28 June (today),” Van Staden said and added that the action is necessary as the proposed power interruptions will have a devastating impact on service delivery and businesses within the municipality.
“The court order offers temporary relief of 90 days, but I am confident that the recently passed budget and accompanying financial recovery plan will put the municipality on a path to financial stability,” Van Staden said.
Van Staden said that the municipality is committed to the timeous payment of creditors and the honouring of the municipality’s financial commitments, but the historic debts inherited from the two former municipalities (Modimolle and Mookgophong), the mismanagement of funds by senior officials and the low collection rate, have made this a very difficult task. “Stabilising the municipality’s financial position is the current leadership’s top priority, as this is a prerequisite for increased service delivery and infrastructure investment,” Van Staden said and added that the municipality will continue to work with the Provincial Government and National Treasury in order to achieve this goal.
“A plea for a financial injection from the provincial government was made and the municipality is still awaiting the outcome,” Van Staden confirmed.

Story: BARRY VILJOEN
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