Parly urged to grill Eskom over failed multimillion ‘ghost town’

The DA wants the parliament portfolio committee on energy and electricity to invite Eskom to explain the failed R840-million Wilge Residential Development Project in Mpumalanga.
 
Kevin Mileham, the DA MP and spokesperson for electricity and energy, said the party would write to the portfolio to haul Eskom to parliament.
 
Mileham said this following the party’s oversight visit to the residential property. 
 
The residential property was meant to accommodate Eskom employees working at Kusile power station in Mpumalanga.
 

Mileham told Sunday World that the 336 flats were big enough to stay a big family, adding that they were four bedrooms, two bathrooms, a lounge, and a kitchen.

He insists that Eskom should not attempt to shoot up electricity tariffs while the entity still struggled to fix their “ghost town” mistakes.

Criminal waste

During the oversight visit on Monday, Mileham said there were incomplete buildings and the town was seemingly abandoned.

He said after witnessing what he described as a criminal waste, it is clear that Eskom does not care about the public funds it squanders and does so with hardly any accountability.

He said the biggest hypocrisy is that this R840-million loss comes as Eskom is asking the National Energy Regulator of SA for a tariff increase, expecting South Africans to pay for its financial mismanagement.

“It’s unacceptable for Eskom to seek a price rise that could raise our electricity bills by 40% while wasting R840-million.”

Mileham asserts that the Eskom board should account to parliament and respond to why they have not yet recovered the money wasted.

He emphasised that his focus was now on writing to the portfolio committee this week to ensure that the matter was dealt with.

Annual report

He said the DA urges Eskom to quickly publish its delayed 2023/24 annual report and provide information about its financial performance.

He insists that this should include details on wasteful spending and significant losses that have not been properly reported or dealt with.


“This derelict housing project is just one among several failed initiatives that Eskom has tried to sweep under the rug despite numerous bailouts, totalling hundreds of billions of rands.

“Another R250-million was squandered on housing projects in Limpopo, which now stand vacant and neglected.

“Even more concerning, Eskom sought exemption from the Public Finance Management Act last year, trying to hide the true extent of its irregular, wasteful, and fruitless expenditures,” said Mileham.

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