Page 11 - AfrElec Week 02 2023
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South Africa’s energy ministry
to oversee national power utility
Eskom, says president
SOUTH AFRICA SOUTH Africa’s President Cyril Ramaphosa former finance minister Pravin Gordhan, cur-
will move the national power utility Eskom to rently oversees the heavily indebted utility,
the oversight of the Department of Mineral which subjected the country to a record 205
Resources and Energy following a resolution days of rolling blackouts in 2022 as its ageing coal
adopted by the governing African National Con- plants constantly break down.
gress (ANC) at its national conference last week, The government has already announced
Bloomberg reports. plans to split the nearly century-old SOE into
The struggling state-owned enterprise (SOE), three units and take over part of its debt to try
which supplies more than 90% of South Africa’s and make it financially sustainable, writes the
electricity, has been failing to meet the nation’s media agency.
power demand since 2008. Under the resolution, Several previous resolutions taken years ago
SOEs such as Eskom operating in specific eco- by the ANC are still works in progress, Rama-
nomic sectors should be overseen by the relevant phosa said, warning that the party’s latest policy
government departments. decisions will take time to implement.
“It is a clear mandate from [the] conference,” A change in the oversight of Eskom may
Ramaphosa told reporters at a media briefing raise concerns as South Africa’s energy minis-
in Johannesburg on Monday (January 9). “The ter Gwede Mantashe is seen by some investors
resolution will be implemented,” and the govern- as a “coal fundamentalist” and has previously
ment will decide how and when it will be done, opposed plans to transition the economy to
he said as cited by Bloomberg. green energy, Bloomberg writes.
The ministry for public enterprise, run by
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