Theft of electricity, faulty meters, negligence, tampering with meters and unmetered consumption of electricity have cost the Tshwane metro R1 billion, mayor Solly Msimanga said on Wednesday.
Msimanga was speaking at a press briefing on Wednesday at Tshwane house where he announced a report of the auditor-general on the metro’s financials.
He said the DA-led administration had received an unqualified – or “clean” – audit from the auditor-general for its first year in office.
Illegal electricity connections and consumer debt were however a problem throughout the metro, said Msimanga.
Technical losses incurred by the metro during the distribution of electricity amounted to R526.7 million.
“The increase in consumer debt remains a serious concern for the city. Consumer debt increased by R1.6 billion to R10.2 billion as of 30 June 2017,” he said.
“The city cannot provide services for free.”
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Asked why people who were found to have connected electricity illegally were not being arrested, Msimanga said cases had to be dealt with on a case-by-case basis.
“In some situations, like this case in Mamelodi where an elderly woman’s electricity connection was tampered with by someone else, we cannot just arrest her.”
Msimanga however, said the metro had plans to curb the surge in illegal usage.
He said action taken in terms of the credit control policy was not fully effective. This had resulted in the average collection rate in current billing regressing to 90.4 percent compared to the 93.1 percent in 2015/16.
“We want residents to be responsible and pay their bills,” he said. “This is not only a problem in the townships; even in affluent suburbs and businesses.”
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“Lack of maintenance over the years has resulted in vulnerable infrastructure that must be replaced,” Msimanga said.
“We introduced an open tender system and improved the procurement system, which will curb unjustified supply chain processes, corruption and maladministration,” Msimanga said.
Finance MMC Mare-Lise Fourie said measures were put in place to cater for indigent people unable to pay their bills.
The audit was said to have been achieved by the city’s strengthening of the controls over supply chain processes, slashing unauthorised and unnecessary expenditure and disentangling the city from unlawful and expensive contracts.
WATCH: Tshwane executive mayor Solly Msimanga
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