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BIA statement on judgement

Twilight Power Lines Evening Evening Sun 46169

GOOD NEWS: The Brits Industrial Association (BIA) welcomes the judgement handed down by the High Court in Pretoria on the 24th of May.

The court reaffirmed Eskom’s duty to fully comply with the process laid out in the Promotion of Administrative of Justice Act (PAJA) prior to coming to any decision to disrupt power supply to Madibeng Municipality. In court Eskom further conceded and undertook that, in future it will adhere to a fully compliant PAJA process before attempting to disrupt the supply of electricity to all municipalities.

The energy supply concern is a direct threat on the livelihood of thousands of Brits and surrounding area community members. The members of the BIA are employing thousands of residents in the local community and uncertainty regarding future electricity supply threatens to severely impact all businesses serviced in the area with regard to their continuity and sustainability.

If unaddressed, this lead to a reduction in further planned investment, potential business downsizing and job losses. Eskom’s undertaking to follow the necessary procedures will help alleviate those concerns. Part of the requirements of the PAJA regarding decision making by Eskom, requires the provision of reasonable opportunity for submissions from all relevant stakeholders, including local businesses as represented by the BIA and other members of the community.

The BIA is now ready to engage with Eskom, the National Energy Regulator (NERSA) and Madibeng Municipality to develop plans and take actions to prevent any possibility of a power supply disruption as a result of Eskom’s outstanding debt burden with Madibeng becoming unsustainable. The BIA hopes that all those involved will seek solutions to this ongoing challenge that will have greater oversight and prevent the amounts owed to Eskom by the Madibeng Municipality reaching unmanageable levels.

Chairman of the association Wimpie Greyling, stated: “We are very pleased with the court ruling in that the BIA acknowledges Eskom’s role as the national power supplier and appreciates its obligation to practice good governance and collect the revenue owed to them whilst also complying with the procedures contained in the PAJA. We look forward to engaging with Eskom, NERSA and the Madibeng Municipality to reach a resolution that benefits all those involved and assists industry in maintaining a strong economic presence in the local community.”

Issued by: BIA