Eskom's attachment of the account of the Matjhabeng Local Municipality (Welkom, Allanridge, Hennenman, Odendaalsrus, Ventersburg and Virginia), in an attempt to recover the outstanding debt of R3,4 billion, once again serves as proof of the serious threat that the ANC's continued control of local governments and state entities poses to the country's economy.
The outstanding debt to Eskom of this Municipality, which serves an economic hub, namely the Free State Goldfields, has increased from R372 million in 2014 to a staggering R3,4 billion despite numerous court orders and payment agreements. It is unacceptable that the debt, which includes interest and unilaterally imposed fines, was allowed to grow to such an enormous amount while residents are suffering due to the dragging disputes between the Municipality and Eskom.
This situation is not unique to Matjhabeng, unfortunately, it is a countrywide phenomenon.
The fact that even court orders were repeatedly ignored also points to the apparent arrogance of the local ANC, which has been implicated in allegations of corruption and maladministration for years.
The state of affairs is creating more and more resistance among law-abiding citizens across the Goldfields who are no longer willing to keep funding the mismanagement, corruption and looting of tax payers' money.
The total collapse of this Municipality not only poses a threat to the local economy, but due to its strategic role in the mining and agricultural sectors, it will also have a significant negative impact on the national economy.
The national government must urgently intervene to prevent a disaster. A lack of urgent and effective action by the Minister of Cooperative Governance and Traditional Affairs (COGTA), Nkosazana Dhlamini-Zuma, and her Department will amount to a serious dereliction of duty, which holds long-term consequences for the country's economy. Such actions should focus on finding realistic and affordable solutions that aim to settle the current disputes and prevent any future disputes.
The time has come for the ANC government to be accountable and take action against corruption and mismanagement on all government levels before local communities across the country decide to take the law into their own hands as that will have catastrophic consequences for the entire country.
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