"Eskom's agreements with municipalities in debt must be realistic and sustainable."
That was the clear message by the Minister of Public Enterprises, Lynne Brown, in her provincial engagement with the Mpumalanga Provincial Government around municipal debt and the operations of the six State-Owned Companies in her portfolio. The meeting was held at the Bushbuckridge Municipality in Mkhuhlu on 14 April.
Minister Brown met the delegation of the Provincial Government led by the MEC of Cooperative Governance and Traditional Affairs, Refilwe Mtsweni and the MEC of Human Settlements, Violet Siwela. The meeting was hosted by the Mayor of Bushbuckridge local Municipality, Renius Khumalo.
Minister Brown has already met the Premiers of the Eastern Cape and the Northern Cape to discuss the high municipal debt in their respective provinces. The Premier of Mpumalanga, David Mabuza, could not attend due to an urgent engagement.
Previous agreements between Eskom and municipalities were not sustainable. Today we agreed that Eskom will not add additional interests once municipalities start repayment of their debt.
"Furthermore, State-Owned Companies in my portfolio must also not start projects in isolation. They must consult the provincial Government, business, SMMEs and communities and be active participants in the industrial development zones," said Minister Brown.
Minister Brown also led the switching-on of connections in the Malubane village where 1 350 houses were electrified over the past year. Eskom spent just over R16.6million on this project.
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