SANCO calls for Hawks investigation into KMPG Scandal

It is disgraceful that for the past month the people of Naledi Local Municipality have had to suffer continuous interruptions to their electricity supply. A part of the municipality has been without electricity for 17 days now. The unreliable power supply in this municipality poses a tremendous challenge and risk to businesses and the low-hanging electricity cables
create sparks that cause field fires. In one case a stud from a farmer’s herd was electrocuted and died, which resulted in a R60 000 loss by the farmer. What is especially worrisome, is that children’s lives are endangered by these cables that hang close to the ground throughout the municipality. The MEC for Local Government and Human Settlements, Fenny Goaloalwe is thoroughly aware of the severe service delivery shortcomings in this municipality and the untenable conditions that residents are expected to live in, yet nothing has
been done to improve the situation. The ANC in Naledi simply do not care and both
the Mayor, Neo Skalk, and Municipal Manager, Tshepo Bloom, have until now completely ignored the pleas from the community to restore the electricity supply and to ensure hazardous areas are secured. Some of the many challenges that this municipality
face, includes:

• Naledi owes Eskom R254 million;
• Last Friday, 8 September 2017, a down-payment of R12 million was made to ensure the electricity would not be cut;

• By 23 September 2017, the current account (approximately R10 million) as well as 5.8% of the
arrears will have to be paid;

• In December another R10 million, of the total of R16 million of the equitable shares, will be used to pay the Eskom arrears;

• On 21 August 2017 the MM promised, during a community meeting, that all electricity poles that create sparks will be replaced on that same day but it hasn’t been done;

• Cable theft is not reported to the police, so there is no consequence management;
• It was confirmed to us that Naledi makes 121% profit on electricity; and
• Workers in the electricity department operate without safety gear nor the minimum resources

to fix electricity problems, resulting in no proper maintenance or repairs.
This confirms our concerns about the general governance of Naledi. The MEC is also aware of
the illegal appointment of the MM who does not have the minimum qualifications required to hold the position. This was brought to her intention, yet Bloom is still in Naledi, warming the chair while our communities suffer. The honourable thing will be to first get rid of this illegal, political appointment and to use her authority to intervene in Naledi. We asked before, and request her again, to take away the municipality’s electricity licence and give it back to Eskom. It is clear that the municipality has lost their capability to ensure reliable services to our
communities. This will also benefit the poorest of the poor who will be able to buy their electricity at a cheaper rate. The Mayor and MM are unreliable and do nothing to alleviate the plight of the people. It is high time that that the MEC uses her constitutional
mandate to intervene and ensure that service delivery in Naledi, good governance and proper
management is restored.