During discussions with Deputy Minister Abrahams in Philippi, Cape Town, illegal connections were highlighted as a major obstacle, posing a severe threat to grid stability and local business operations.
Image: Picture: City of Cape Town
Deputy Minister of Electricity and Energy Alexandra Abrahams met with local business owners in Philippi, Cape Town, to discuss the energy challenges hampering commercial activity and explore practical, long-term solutions to improve electricity reliability and support economic growth.
The Thursday engagement included senior officials from the Department of Electricity and Energy, Eskom, and the City of Cape Town.
Abrahams stressed that stable energy is vital for economic growth, job creation, and business efficiency.
Consequently, ensuring energy security in industrial and commercial areas remains a key priority for the Department of Electricity and Energy.
Eskom has committed to a targeted remediation plan for individual business grievances and will hold monthly stakeholder meetings with Philippi commercial representatives to ensure accountability and manage network vulnerabilities.
Abrahams said: “Sustainable job creation requires a reliable operational environment for the commercial sector. The government must work cooperatively with industry to dismantle barriers to economic growth.”
He further noted, “It is essential that the government remains approachable and responsive to the needs of the business sector, as these businesses are the drivers of success responsible for creating the urgent employment opportunities our nation requires.”
During the engagement, stakeholders identified illegal connections as a critical operational risk that threatens grid stability, creates safety hazards, burdens legitimate businesses, and deters investment.
These connections cost Eskom billions annually in lost revenue, reducing infrastructure funding and driving up operating costs and consumer prices.
Eskom, at the engagement announced it will establish a dedicated task team to address the broader issues driving these illegal connections across Philippi.
This working group will integrate stakeholders from the local community, the City of Cape Town, and the private sector to develop comprehensive interventions.
“illegal connections are a symptom of socio-economic circumstances which are exploited by criminality. Every illegal connection is a criminal act that endangers lives and costs the taxpayer millions of rands,” Abrahams.
“The South African Police Service and the National Prosecuting Authority must do their part to address these crimes,” he added.
Abrahams said: “Establishing focused working groups will involve key stakeholders and improve communication to resolve issues faster. I remain committed to partnering with Eskom to foster the energy environment necessary for business success.”
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