(Archive photo)
The latest electricity price application from the Ekurhuleni metro to the National Energy Regulator (Nersa) has exposed a deviation of around R7 billion in the calculations.
According to Jennifer Glover, FF Plus councilor in the Ekurhuleni metro council, this error is not a technical slip, but a direct result of the metro’s inability to responsibly manage public finances and critical infrastructure.
In its application, the metro miscalculated its Eskom bill for bulk electricity and inflated the amount from R25.5 billion to R32.7 billion.
Glover emphasizes that if this had not been corrected, it would have justified a rate increase of more than 50%, instead of the already high 19% that residents and businesses have to bear.
According to her, the mistake was only corrected in April this year after stakeholders pointed it out in public hearings.
“Such a mistake shows that budgeting processes, financial controls and administrative competence under the ANC are simply not reliable. Residents and businesses are already under tremendous economic pressure and cannot be further harmed due to poor management or faulty assumptions.”
Glover says the FF Plus will follow an extensive strategy to determine where the deviation originates and what can be done about it.
A letter is also expected to be addressed to the Gauteng MEC for finance, Nkululeko Dunga, and the matter will also receive attention in the finance portfolio committee and the council.
“The metro must urgently explain how the deviation arose, who was responsible for the preparation and approval of the application, and take care that no unfair costs are passed on to residents.”
The FF Plus further calls for a review of internal financial and technical verification processes.
Glover says transparency and accountability are non-negotiable when public money and essential services are involved.