Business Maverick: Eskom set to post stratospheric loss as labour costs rocket

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Business Maverick: Eskom set to post stratospheric loss as labour costs rocket By Sikonathi Mantshantsha SikonathiM

Next week electricity supplier Eskom will report a financial loss so high that no single company has ever reported its equal in South Africa. The R25-billion net loss is almost double the previous record, held by another state-owned company, PetroSA, which reported a R15-billion loss in 2015, after spending billions drilling new wells for gas it did not find.

The price of coal also shot up as Eskom had to scramble to rebuild coal stockpiles to combat a shortage of coal at more than 10 power stations that had fallen below the required 20-day threshold.The biggest, unnecessary expense, was the ex gratia payment to staff last year, in which the lowest-paid employees received bonuses averaging R10,000 each,” said another person who spoke on condition of anonymity because the results are not public yet. This was in addition to a 7.

Threatened with a full-blown strike, Gordhan, the minister with the political responsibility for Eskom, intervened and instructed the company to reopen talks. Eskom finally settled at a 7.5% annual wage increase. These weren’t the first bailouts going to Eskom. After being gutted by corruption, the utility extended a begging hand to the taxpayer, and received an R83-billion bailout in 2015. That was only the start.

 

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Blame anyone but not incompetent Pravin Gordhan

Which decade did Eskom last show a true profit 😡

People conveniently forget that the decisions of yesterday causes today and tomorrow's problems / solutions

🗣️🗣️🗣️'Pravin Gordhan is fixing SOEs' 🤣🤣

Clean coal tech will save eskom,ipps are bankrupting eskom!

Very interesting that close to a year now SA under media darlings Ramaphosa,Pravin and Mboweni continue to collapse worse than under the enemy Jacob Zuma,how many jobs were lost since these trio assumed their positions,how many were created,SOEs continue to collapse...mxm

It yet we allow unions to call the shots in refusing to the restructuring of Eskom that is 60% overstaffed

Mr Fixit found the money which was not there when the then CEO was honestly telling workers that there will be zero percent increase

What were we expecting as South Africans? We think SOEs can be fixed by a dose Panado or Disprin. We put a Pharmacist to fix highly technical and complex entities and expect positive results. Einstein said: 'Insanity is doing samething over and over and expect different results'

Eskom is over staffed, what did you expect would happen.

Ministry of public enterprise is failing massively

PRAVIN is not good at ANYTHING all he is good at is to SET UP ROGUE ACTIVITIES,being bully, arrogant, ridiculous self importance and self righteousness

Eskom May need to explore the water or wind turbines as alternative modes of power generation. Maybe I’m missing something....🤔

And there we have it, black excellence destroyed the company. Black privilege means nobody will be prosecuted.😂😂I love it🖖

Because Jamnandas failed

Yes because we need to eomploy more people while the demand decreases !

This is the reason Pravin should actually go! He reversed the board decision to not grant increase. The current ANC must be hammered. Factional infighting must be encouraged exploited fanned till this beasts collapse! IMF bailout is inevitable but we must destroy ANC first

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