Deputy minister says Western Cape schools owe R53m to municipalities and Eskom

Deputy Basic Education Minister Reginah Mhaule

Deputy Basic Education Minister Reginah Mhaule

Published Oct 19, 2022

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Cape Town - Schools in the Western Cape province owe municipalities and Eskom more than R53.7 million in rates and services.

This was revealed by Deputy Basic Education Minister Reginah Mhaule when she was responding to oral questions in the National Council of Provinces on Tuesday.

ANC MP Maurencia Gillion asked about the number of provincial Departments of Basic Education and schools that owed municipalities and the amounts they owed in light of the national crisis of high debts that are owed to municipalities by various government departments.

Gillion also enquired whether Mhaule’s department has any plans to pay the owed amounts.

Mhaule said there were many schools that owed municipalities.

“We have been in constant engagements with Salga, Cogta and Nersa to check how schools are built. Schools are (classified) like businesses that are making profit, yet they are not generating profit. They are just community centres to provide education to learners.

“This is a matter that is ongoing. We are engaging,” she said.

Mhaule also said the department had, in response to the questions, consulted the provinces on how much they owe municipalities and Eskom.

“Only three provinces have given us the numbers,” she said, referring to the Western Cape, the Eastern Cape and Gauteng.

Mhaule said an unnamed number of schools in the Western Cape owed a combined R53.7m.

“The Western Cape Education Department said the debt balance older than 60 days, currently amounting to R16.9m, is closely monitored.

“They say they are monitoring the schools because their schools can pay. We are going to get back to them to get a report,” she said.

The deputy minister also said there were 210 schools in Gauteng that owed an amount to the tune of R49.1m.

Mhaule said the Gauteng government had paid R20.1m on behalf of Section 21 schools that were unable to meet their debt, and their accounts were now up to date.

“The remainder of debt, especially that of schools that do not fall in the category of Section 21 schools, the department is engaging schools to make sure they pay.”

She also said a total of 403 Eastern Cape schools owed to the tune of R29.6m, and other schools in other provinces bought electricity directly from Eskom and did not owe municipalities.

Asked if there was a policy or regulation that ensured schools paid their municipal accounts, Mhaule said it should not be a matter of policy, but people should pay for services.

She said Section 21 schools obtain a budget from provinces that was earmarked tag to pay for government services.

“We will find a way of ensuring that all our schools do pay.”

Mhaule said in instances of non-payment, municipalities threatened to switch off electricity towards the examinations period.

“We pay for all schools so that there can be no school without electricity because of non-payment and municipalities not to suffer,” she said.

Mhaule said the few schools that usually have their electricity was cut for non-payment by municipalities.

“We never had electricity cut for a period exceeding a week. We work with provinces because before they cut electricity, they inform us, and we intervene,” she added.

However, Mhaule noted that some of the schools that were unable to pay were those that did not want to be classified as Section 21 schools, citing that parents had agreed to pay for school fees.

Cape Times