Explainer: The Democratic Alliance's 6-point plan to fix Eskom's mess

Explainer: The Democratic Alliance's 6-point plan to fix Eskom's mess

Eskom has been in the spotlight this week as the nation's politicians attempt to do damage control. The Democratic Alliance has put forward it's 6-step plan to turn things around at the state-owned entity.

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From the President to the average joe, everyone has an opinion on what should be done to help Eskom out of its current situation.

The Democratic Alliance has put forward it's plan which could 'reform our energy sector' in South Africa.

Briefly.co.za takes you through the plan to explain what the opposition party has in mind:

READ ALSO: Eskom attempts to hike tariffs amid financial impact of load-shedding

1. "Eskom must be immediately split into two independent entities, one for generation and the other for supply."

The opposition party is in favour of the proposed Eskom unbundling, which it feels will aid in breaking the generation 'monopoly'.

2. "Energy Minister Gwede Mantashe should sign permissions for IPPs to supply additional power to the grid in terms of Section 34 of the Electricity Regulation."

Gwede Mantashe, in the DA's opinion, remains the biggest hurdle to stabilising the energy grid. IPPs, or rather independent power producers, have long been engaged in a legal battle to join the game.

The opposition party has intensified it's bid to have the relevant legislation passed to allow for these companies to feed the grid.

3. "Eskom should be allowed to buy coal from all sources."

Coal was recently blamed for a portion of the load-shedding experienced by South Africans.

Energy expert Ted Blom claims that substandard coal, once wet, was a nightmare for the systems that produce power.

Blom explained that the finer coal is virtually worthless, alleging that corruption had taken hold at the utility and someone was pocketing the difference. Multiple providers will allow for healthy competition.

4. "Eskom should buy petrol from PetroSA at a tax-free price."

A person would be surprised how small amounts quickly add up to an impressive total and cutting down on costs should be the name of the game at the cash-strapped entity.

5. "All electricity consumers should be placed onto smart meters to collect electricity revenue on time."

A prime example of how outstanding debts accumulate is Soweto, which is facing a court battle to have electricity restored after Eskom pulled the plug on defaulting households. Prepaid meters would allow for timely payments.

6. "Eskom employees must be declared an essential service in the economy and be barred from going on strike."

This point is pretty simple, the entire economy and institutions like hospitals need electricity to function. Striking employees could be viewed as a national plague.

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Source: Briefly.co.za

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