Will NERSA revoke municipality’s electricity licence?

AfriForum has lodged a formal complaint with the National Energy Regulator of South Africa (NERSA) to revoke AbaQulusi Local Municipality’s licence. This follows last week’s heated meeting between municipal officials and Vryheid residents regarding poor service delivery that includes the regular power outages in town.
Since 2018, the town’s residents and especially those living on the outskirts (Zaailaagte), have suffered with constant power interruptions. These power outages have contributed to unreasonable financial losses to such an extent that businesses have had to close their doors.

Complaints to the municipal manager, IDP comments and suggestions, and other forms of formal reporting have made no impact on the standard of service delivery, as set out in NERSA’s minimum requirements.
In 2019, AfriForum Vryheid also lodged a formal complaint with NERSA in this regard. Despite an audit by NERSA and commitments made by Abaqulusi Local Municipality, there was further deterioration of the distribution network in Vryheid and surrounding communities. This while several complaints to and promises by the municipality remain unanswered. The failing network has been ‘blamed’ on one of the three main transformers that are working. Very little maintenance and no replacement of old electrical lines is said to have contributed to the catastrophic state of the network. Electrical supply is one of the four main infrastructure service deliveries by authorities to encourage and support economic growth. Poor maintenance of this important service has reached a point of desperation.

AfriForum requested urgent intervention from the energy regulator on August 15. This includes an audit on the commitments promised during a previous visit by NERSA. AfriForum further suggested that NERSA arrange a tribunal that can make a finding in terms of the Electricity Regulation Act (ERA), and that the electrical distribution licence of Abaqulusi Local Municipality be revoked.
“In a recent community meeting with the municipality, it became clear that no official can or wants to account for the ongoing poor service delivery. On the contrary, political parties want to give answers. Political parties may not interfere with the administration. This is a clear sign that this municipality has been hijacked,” says Eugene van Aswegen (provincial co-ordinator of KwaZulu-Natal).
Van Aswegen indicated that residents won’t be left in the dark if the licence is revoked – it merely means that another service provider will be appointed to distribute and ‘take charge’ of the town’s electricity, instead of the municipality.

A few days after AfriForum laid the complaint, NERSA responded that they will investigate the allegations. They said they will engage with both parties concerned and will follow the NERSA Dispute Resolution Processes.

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The news provided to you in this link comes to you from the editorial staff of the Vryheid Herald, a sold newspaper distributed in the Vryheid area.