Lekwa Municipality’s Financial Discipline And Deficit Under Scrutiny

THE Auditor-General’s findings and Cooperative Governance and Traditional Affairs’ (CoGTA) forensic investigation, has the Lekwa Municipality in a tight corner.

These two documents cover allegations, observations, conclusions and recommendations and the forensic report focuses on allegations relating to financial discipline, citing the deficit, over-indebtedness and the Sars- and Eskom account.

The outstanding Eskom-debt saw Standerton being subjected to load shedding on two fronts these past months.

Residents had to contend with electricity interruptions after the municipal, notified, maximum demand of 55MVA was exceeded.

Lekwa Ratepayers Association took Eskom to court about load shedding, the High Court in Gauteng ruled in favour of them and Eskom was to increase, alternatively restore the maximum load supply to Lekwa to the level supplied before the introduction of 55MVA.

They charged the power utility with contempt of court on 3 September and the power utility has since appealed the court decision. A Supreme Court