Nyathi was speaking at a media briefing on the energy crisis hosted by the Government Communications and Information Systems in Johannesburg.
He’s warned consumers of more electricity tariff increases as Eskom is not making money from the current rates paid. According to Nyathi, the current debt of R400 billion is preventing the company from raising capital to fund its operations. “We’ve got liquidity issues linked to debt, so the debt has to be sorted out. The second one, we call it a cost-reflective tariff if we continue to sell at the price below which we produce things that business has no future. The third systematic issue is what we call dysfunctional culture – many in management positions not managing. You see itself playing itself out as lack of accountability, people not taking ownership of the problem…no tough conversations with people that are not performing.
Actually, high debt levels, super high tarrifs, and very low performance affects the power utility negatively. There, fixed it for you...
Cut salaries of the executives, top management, and the board
Leave debt out of this. Primary function & mandate of Eskom is to produce and distribute electricity. Eskom should not even have the power & ability to talk to IMF or WB. Let alone asking for loans from outside the country.
They must continue to do those tariffs hikes till no one can afford electricity….then we all start doing illegal connections. Currently R100 electricity you get 30units they must continue and see who will buy electricity
leona_kleynhans We can’t take anymore Eskom tariff hikes. Do they want a revolution?
Look Eskom is in a death spiral .. eventually most paying middle class and the wealthy will cut themselves free and secure private energy
They are stealing every cent then pass on the costs to the consumer. Basically consumer pays 30% more for 30% less electricity. The ruling party believes 30% is a good pass so people must not be shocked🤡🤡
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Source: SABCNews - 🏆 37. / 51 Read more »
Source: SABCNews - 🏆 37. / 51 Read more »