Business

South Africa: A united and stronger Leadership required to save Eskom

Last updated on September 11th, 2021 at 08:21 am

Shifting goal posts and signs and symptoms of instability are now not helping to rebuild believe between residents and Eskom. Eskom has extended its request to citizens for load shedding to continue from previously projected 18 months to about 29 months (to March 2022).

The biggest subject from Eskom is the unpredictability of their aged strength stations, however also regular breakdowns in the newly built energy stations.

This points to gaps in the ability to include breakdowns and manage preservation in a steady and predictable way.

This requests from Eskom occurs on pinnacle of many challenges that are no longer being addressed decisively and urgently. Concerns through Treasury regarding the alleged irregular processes of appointments and corrupt contracts require pressing attention.

This goes alongside the cracks that are appearing in the board with the resignation of a board member over the disagreements on a key petroleum contract, and on the count of chief running officer’s corruption allegations.

There has been brilliant uncertainty related to the system of unbundling as well. With the DA’s backed Independent Electricity Management Operator Bill failing to bypass in parliament (politically foreseeable), we are yet to see any possible law that will allow Eskom to seamlessly unbundle.

I’m now not certain if I’m the solely one who can see that there has in no way been concord between Departments of Public Enterprises, Minerals and Energy, and National Treasury on Eskom unbundling.

It would appear there are deep divisions, whether ideological or territorial that appears to deeply have an effect on electricity transition.

Minister Gwede Mantashe has had his very own views on the model for a new Eskom, punting extra of a Dutch mannequin where the nation sells its complete era capacity and center of attention on transmission, where era is publicly and privately owned.

This is additionally in line with Treasury’s proposed strategy. It would seem the Department of Energy has additionally delayed new determinations desperately wanted to assist Eskom.

In December 2019, the Department of Energy launched a Request for Information (RFI) for power initiatives that can deliver strength to the grid in the shortest possible time on a ‘least-cost’ and ‘least-regret’ approach. Of course, this could be attributable to Covid-19 pandemic and lockdown.

(IOL)

Albert Echetah

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