Klippies Kritzinger CEO of Vaal Business Coorporation (VBC) writes:
Dear Mayor Sipho Radebe & Municipal Manager April Ntuli.
We write this letter to voice deep misgiving in your latest communiqué dated 08 JULY 2023 and Titled “ESKOM HIGH COURT ORDER”.
The recent High Court order Dated 5 July 2023, Ref: case no 94248/2019 and MFMA Circular 123 by the National Treasury issued on 31 March 2023 gives ELM opportunity to place the Community ahead of political gamesmanship, which this latest communiqué is.
We can no longer just watch as incompetent and financially illiterate public representative and officials make very bad calls when the livelihoods of so many hang in the balance.
Hence we will document below our deep reservations regarding the actions and decisions of ELM’s council and EXCO.
It has been widely communicated that ELM plan to challenge the above mentioned court order, which would effectively relieve the municipality of its duty to manage the electrical supply function for their municipal area.
This court order, while providing an opportunity for ELM to rectify its account with ESKOM and remove the risk of future litigation that may impact electrical supply to its consumers, seems to have been met with resistance.
This stance is perplexing, given that the order grants ELM a lifeline where they will still be paid their mark-up for doing nothing more than supplying their customer database to ESKOM this would allow ELM time to address its financial woes and ensure the long-term success and financial future of all residents within ELM.
The court order stipulates that ESKOM will assume responsibility for the last mile network, billing, and customer service, while still paying ELM a net profit for services rendered.
This arrangement not only alleviates the burden of network maintenance and financial liabilities but also presents an opportunity for ELM to focus on addressing the core issues that have led to the current state of affairs.
What is truly frustrating is ELM’s reluctance to accept this court order, which effectively offers a “get out of jail” card for the municipality.
The financial relief and the chance to collaborate with ESKOM to provide consistent electricity to the business community would undoubtedly safeguard jobs, foster business viability, and contribute to the overall economic growth of the region.
The financial challenges faced by ELM are not isolated incidents but rather the culmination of years of mismanagement, poor financial planning, and a lack of accountability.
The failure to pay suppliers, accumulating significant debt, and the subsequent threat to essential services are not the results of external forces but rather the consequences of the municipality’s own actions or lack thereof.
Furthermore, it is worrying to observe the absence of the opposition parties or effective advocacy from those tasked with representing the citizens’ interests.
It appears that the residents of ELM have been left to fight their own battles against an incompetent council and EXCO, while opposition parties remain silent or ineffective in holding the municipality accountable.
I strongly urge the council and EXCO to reconsider their stance and accept the court order as a vital step towards financial stability and the well-being of ELM’s residents.
It is time to set aside personal agendas and prioritize the long-term success of the municipality over short-sighted political gains. The citizens of ELM deserve a functional and accountable local government that acts in their best interests.
In closing, I urge you to act swiftly, responsibly, and with the utmost diligence to accept the court order and collaborate effectively with ESKOM.
The future of ELM and its residents hangs in the balance, and it is the duty of the council and EXCO to make decisions that will ensure the prosperity and well-being of all who live in the municipality.
