Plan for SA’s new state power company takes shape

South Africa is forging ahead with a plan to create a new state-owned power company by converting three coal-fired plants into gas-burning generators to ease the nation’s energy crisis. State power utility Eskom generates most of South Africa’s electricity, and has subjected the country to rolling blackouts since 2008 because its old and poorly maintained facilities can’t keep pace with demand.

There is no agreement in government on this at all, and a new state-owned entity would not get funding from the National Treasury, nor from the market.” Read: Skills crisis is holding back investment and growth: Mavuso Opposition parties are also skeptical of the government’s plans, given its poor track record in overseeing state companies.

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