Gordhan vows Eskom won't collapse following R5bn emergency payout

Gordhan vows Eskom won't collapse following R5bn emergency payout

- An urgent R5 billion payout was made to Eskom by the National Treasury over the weekend

- However, Pravin Gordhan says the issues at the state-owned entity are under control

- This follows unconfirmed speculation that former Absa CEO Maria Ramos might be appointed to head the power utility

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Public Enterprises Minister Pravin Gordhan has said that Eskom is not about to collapse.

This comes as National Treasury made an urgent injection of R5 billion to the power utility over the weekend.

However, it is not clear at this point what the funds are to be used for.

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Previously, a R23 billion bailout had been set aside for Eskom. However, this was only expected to be paid out in August.

Despite this, infrastructure problems at the SOE have led to the recent emergency R5 billion payout. Eskom officials have not yet clarified what the issue is, but Pravin Gordhan said that everything is "well under control".

He added that government knew how to address Eskom's problems, according to The South African.

READ ALSO: Ramaphosa: Don't punish ANC at ballot box over service delivery

There has been much confusion regarding Eskom in recent weeks, such as that former Absa CEO, Maria Ramos, would take over the power utility. However, a spokesperson for Gordhan said that this could not be confirmed.

Rather, the spokesperson said that Eskom's attention was currently focused solely. on saving the embattled the power provider, Briefly.co.za has gathered.

There are all still unanswered questions concerning Cyril Ramaphosa's previous announcement that Eskom would be unbundled into three separate entities. While this still appears to be official policy, little headway has been made in implementing it.

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Source: Briefly.co.za

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