Moneyweb reports that it took almost a month of intense disruptions due to load shedding for President Cyril Ramaphosa to take charge of the electricity crisis that has deepened year after year, but on Monday he eventually announced drastic steps to end load shedding, ensure the sustainability of Eskom, and transform the electricity supply industry.
Ramaphosa announced steps to: improve the performance of Eskom’s power stations; accelerate procurement of generation capacity; massively increase private sector investment in generation capacity; enable businesses and households to invest in rooftop solar; and fundamentally reform the electricity supply industry and position it for future sustainability. He announced that Eskom will over the next 12 months increase its maintenance budget to increase the reliability of its power stations. Government is also cutting red tape to make it easier for Eskom to procure parts and equipment, and the power utility is recruiting skilled staff – including former Eskom staff. Over the next three months Eskom will procure additional generation capacity from various sources. Ramaphosa announced that a solution for Eskom’s R400 billion mountain of debt will be provided by Finance Minister Enoch Godongwana in his medium-term budget policy statement in October. He also established a national energy crisis committee, led by Director-General in The Presidency Phindile Baleni, who is a former CEO of energy regulator Nersa, with deep knowledge of the electricity sector. Also represented on the committee will be the departments of Public Enterprises, Mineral Resources and Energy, Forestry, Fisheries and the Environment, National Treasury, and SAPS. The relevant ministers will report to Ramaphosa directly. In early reaction, trade union Solidarity welcomed Ramaphosa’s announcements. Dr Dirk Hermann, chief executive of Solidarity, said the government’s move towards a more decentralised system for power generation was the only workable and sustainable solution to SA’s power crisis.
- Read the full original of the report in the above regard at Moneyweb
- Read too, ‘Fix Eskom’ tops Ramaphosa’s list, along with less red tape, at BusinessLive (subscriber access only)
- En ook, Só lyk regering se plan om ligte aan te hou, by Maroela Media
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