Municipalities are owed R143 billion

South African Local Government Association (Salga) is hosting an energy Indaba in Sandton Johannesburg.

Salga CEO Xolile George says this is not a talk shop but a defining moment for its role as local government within the electricity and energy value chain.

Speaking to Ray White on The Midday report, George says historically they have been relying on coal-based energy solutions for the country.

When you look at our situation as local government, electricity has been one of the core service offerings we give to citizens.

Xolile George, Salga CEO

The energy mix in our revenue has been declining over a significant number of periods owing to a number of structural problems as well as systemic problems that we face as local government.

Xolile George, Salga CEO

George says part of the reason fro the Indaba is to refine the role of local government in the entire energy chain. He says it plays a role in selling it to citizens. He further says with the emergence of solar energy; it is beginning to play a role at an individual household system level.

We felt as local government that we must sit down and carefully examine the current landscape and redefine the energy future and where we think as local government in the country given the fact that we are playing wall to wall service of provision across the country.

Xolile George, Salga CEO

The issues of debt must be looked at in the context in which they are emerging. For instance municipalities are owed at present R143 billion by citizens, business, government and industries at large.

Xolile George, Salga CEO

Listen to how this debt has been accumulating:


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