Budget 2023's big news: Eskom debt, solar tax bonanza and tough choices | Business

This year's Budget is dominated by the electricity crisis, with government announcing that it will take on R254 billion of Eskom's debt.While the Budget showed progress in tackling SA's government debt, storm clouds are gathering.This year's National Budget, delivered on Wednesday, was dominated by South Africa's power woes, with Finance Minister Enoch Godongwana announcing that government will take over a large part of Eskom's debt.

This will help the government's budget deficit to decline from 4.6% of GDP in 2021/22 to 4.2% this year. Next year, it's expected to narrow to 4% of GDP, the lowest since 2019/20.However, its total debt has now reached almost R5 trillion – while it earns less than R1.7 trillion in tax a year. The cost of paying off its debt has ballooned to more than R360 billion a year. Some 18% of all government revenue is now spent on debt repayments, and that will increase to almost 20% by 2025/26.

Government will take now on R254 billion of Eskom's R400 billion debt over the next three years. Some R184 billion will be paid directly to Eskom over the next three years, to settle loans. In 2025/26, government will take over R70 billion of Eskom's loans. "An unbudgeted wage settlement will require very significant trade-offs in government spending," Godongwana warned.

Households will get a tax rebate of 25% of the cost of new solar PV panels for the next year. The rebate can offset your income tax liability up to a maximum of R15 000. For example, if you buy 10 solar panels at a cost of R40 000, this means your personal income tax liability for the 2023/24 tax year will be reduced by R10 000.

_Business 'take over' in real ordinary people's lives means the poor will pay Escoms debt. Don't let the ANC fool you. It is your money.

_Business None of this would have happened under Capitalism, South Africa is sinking deeper into debt while there's far easier options to grow wealth and the entire economy to benefit everyone....

_Business Christ almighty the ANC gave fuqqd up big time

_Business Thought Eskom is already owned by tgd Government?

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Eskom debt albatross hangs over SA's plans to stabilise budget | BusinessFinance Minister Enoch Godongwana faces the task of incorporating a credible debt-relief plan for Eskom in the national budget while stabilizing government finances as record blackouts weigh on the economy. | News24_Business _Business eskomsalaryshedding , 40000 employees at Eskom that cannot fix anything so let's start Salary shedding stage 2,3,4 30% of their salary stage 5,6 40% of their salary and see how quickly the problem is fixed or no more load shedding then we start governementsalaryshedding _Business Haybo where is this so called minister of electricity wena Flash/Thor you not doing your job babba wena moera wen _Business eskomsalaryshedding , the highest paid sector in the country and they cannot fix a thing or keep it running let try this: stage 2,3,4 30% salary cut. stage 5,6,7 40% salary cut. see how quickly they fix this problem! Then governmentsalaryshedding
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