JOHANNESBURG - Government is stepping in to help resolve Johannesburg’s power crisis.
The move comes as the city races to settle its R5.2-billion Eskom debt.
READ | Ramokgopa to meet with Eskom, City Power amid threats to cut Joburg supply
Electricity Minister Kgosientsho Ramokgopa said City Power is bleeding revenue due to massive technical losses.
Ramokgopa met with Johannesburg Mayor Dada Morero and Eskom CEO Dan Marokane as pressure mounted to avoid a widespread blackout in the city.
"We have accepted that we need to provide some degree of technical support to City Power. And by that we are not suggesting there is no capacity in city power. What we are saying is that that capacity perhaps is not sufficient to meet with the demands or the complexity of the system," he said.
According to Ramokgopa, there is about 30% of technical losses experienced in Johannesburg, while the average in the country is estimated to be around 10 %.
READ | No final decision made on power supply interruption in Joburg - Eskom
He argues that this is low-hanging fruit.
He said Johannesburg is the powerhouse of the South African economy and the epicenter of the financial markets, not just in the country but across the continent.
And as such, he said they cannot let it fail.
"We can't be at an arm's length. We are going to support the city of Johannesburg. They have already committed as part of the reform agenda, that by the beginning of July there is going to be a ring-fenced account for city power. So that there is a line of sight of that which we collect," he said.
Meanwhile, Morero has reiterated that no lights will be switched off.