On Thursday, Johannesburg mayor Herman Mashaba made the decision to replace the entire board of City Power and many of the city’s utilities nonexecutive directors. The mayor has previously indicated the he wants to reincorporate service delivery bodies under the city’s jurisdiction and this may be the first step in this direction.
According to Business Day: “Mashaba promised that as part of his election platform that he would reincorporate the service delivery entities, which exist as stand-alone companies, back into the city’s structure.”
The utilities include among others, City Power, Johannesburg Water, Pikitup, the Johannesburg Property Company and the Johannesburg Roads Agency. Read more…
New chair appointed for City Power
City Power’s former chair, Rev Frank Chikane, has since been replaced by Lael Bethlehem, an economic-development specialist in the city, media reported.
According to media, Mashaba has also pulled in Douglas Gibson, formerly an MP.
Business Day reported: “Chikane’s removal came in the wake of a stand off with Mashaba over the fate of City Power CE Sicelo Xulu, whom Mashaba wants suspended.
“Chikane had refused to suspend Xulu on the grounds that he had been investigated on two occasions but no findings were made against him.”
In addition, mayoral committee member for infrastructure Anthony Still, who had agreed with Chikane, has since been demoted.
According to Eyewitness News Reporter, Thando Kubheka, the new administration and shareholders have decided not to renew the City Power board’s term.
Eye Witness News reported: “Claims of corruption at the utility were leveled against Chikane and his wife last month. The forensic investigation into City Power tenders valued at billions of rand is still underway.”
Kubheka further added: “They have been instructed to hand over a report to the new board detailing operations that have been done at City power thus far, what has been done, what hasn’t been done, including legal matter that are currently underway.”
Featured image: The Times