Eskom Turns 100 Next Year: From Glory As the Best Power Utility to a Dilapidated Entity

• Eskom’s fall from the best power utility in the world to its current state has been painful and disappointing watch
• The power utility’s electricity supply issues started in 2008 due to a lack of generating capacity
• Recently President Cyril Ramaphosa assured that the country is making progress on the energy crisis plan

JOHANNESBURG - Eskom will turn 100 years old in 2023 and was once considered the best power utility in the world. The state-owned entity’s fall from grace was painful to watch, and there is not much hope for a brighter future.

South Africans endured one of the most challenging winters this year due to blackouts that lasted for as long as eight hours a day in some parts. However, the power utility’s electricity supply issues started in 2008 due to a lack of generating capacity.

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The entity also fell deeper into financial troubles. According to News24, as the national grid was on the brink of collapse, Bobby Godsell was appointed chairperson to help stabilize Eskom; however, the financial woes only grew.

After Godsell’s departure, Eskom accelerated the building of Kusile and Medupi power stations. After that, Eskom was marred by allegations of corruption which were further worsened by the state capture, during which about R500 billion was looted from the country.

Several municipalities have also failed to make payments for the power bills amounting to R49 billion. Despite threatening to cut off electricity supply in certain municipalities, little has been done to reduce the debt.

Most recently, President Cyril Ramaphosa’s weekly newsletter assured that the country is making progress in the actions announced in the July energy crisis plan. According to BusinessTech, the president urged citizens to reduce the electricity supply demand during peak times.

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Here’s what citizens had to say:

@Protea72 said:

“Biggest joke. Biggest tragedy. The Company is overpaying salaries to an excess of 66% staff.”

@Mivusiwe wrote:

“That must be why there are now more than 100 days of loadshedding per year!”

@robmartza added:

“It happened in three easy steps...actually, letters...first one is A, then N, then C.”

Public Enterprises Minister Pravin Gordhan to make changes to Eskom’s board

In a related matter, Briefly News also reported Public Enterprises Minister Pravin Gordhan plans to make changes within Eskom’s board.

The minister informed the directors of the power utility on Tuesday, 27 September, that the changes are imminent. While it is unclear if the current board will be replaced, Cabinet recently stated that members should be strengthened.

The power utility has six non-executive directors; however, it can have a maximum of 13, according to News24.

Source: Briefly News