South Africa: Eskom, Salga sign agreement

Eskom, power utility01 November 2014, Pretoria — Power utility Eskom and the South African Local Government Association (Salga) have signed a co-operative agreement that aims at fostering an active partnership.

The Memorandum of Understanding (MoU) was signed between the two parties on Thursday afternoon.

“The MoU is an active partnering agreement to address both electricity distribution industry challenges and specific operational challenges impacting on the reticulation of electricity. It is more than a commitment to collaborate – it spells out the nature of active partnering which includes the establishment of working groups to address specific financial, legal, regulatory, operational and administrative challenges,” said Eskom.

The agreement was signed by Salga’s Chief Executive Officer Xolile George and Eskom’s Group Executive for Distribution, Ayanda Noah, on the final day of Salga’s two-day National Executive Committee (NEC) Lekgotla held in Pretoria.

The parties have also agreed to establish a Programme Management Office (PMO) comprising of Salga and Eskom and officials to execute work plans.

The immediate focus will be on planning issues (including alignment between Eskom and municipal plans), technical skills development and rescue plans when needed.

In terms of skills training, municipalities will be invited to benefit from Eskom’s Academy of Learning and Leadership Institute, particularly on technical and financial issues.

The association has committed to taking a robust approach on actions to deal with the various operational challenges that impede the provision of basic electricity services at local level.

“Both Eskom and SALGA are making a call upon all stakeholders to support this important initiative that seeks to promote and enhance the long-term sustainability of South Africa’s electricity distribution industry.”

About the Author