In a quiet corner of the Free State, private enterprise is helping to save four small towns and, in the process, give them one of the most reliable municipal electricity services in the country.
In the Mafube municipality – which includes the towns of Frankfort, Villiers, Cornelia and Tweeling – a private power distribution company has taken over distribution of electricity and billing from the municipality, which has been under administration since 2017.
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The result is that, over the last 11 years, tariff increases for residents have been below those recommended by regulator Nersa and the municipality has been able to invest more than R120 million to upgrade infrastructure.
The 25-year contract means, effectively, that the supply of electricity has been privatised – but not the infrastructure.
While scores of other towns around the country battle with municipal incompetence, which affects the delivery of all services, Mafube is the standout exception.
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There is no reason – apart from the venal looting mentality in many of the ANC’s councillors – why this model cannot be rolled out across the country.
However, given that Mafube must be a constant reminder of an alternative to the ANC’s corruption and incompetence, we have our doubts about whether its example will be followed elsewhere.
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