Eskom Estimates R20bn Net Loss, SA Reacts: “Why Don’t They Privatize?”

• Eskom reported a R12.3 billion net loss on Friday for the year to March and estimated the loss to increase to R20 billion next year
• Auditors have raised concerns about Eskom's survival after the entity posted its fifth straight loss
• The government has been trying to turn things around at the financially struggling power utility

JOHANNESBURG - On Friday, Eskom said its annual results indicate an expected net loss of R20.1 billion for the 2022 financial year.

This is a result of multiple factors including increased spending on maintenance, open-cycle gas turbines and decreased volumes of sales.

Departing CEO, André de Ruyter, added that Deloitte & Touche auditors have picked up past financial irregularities, and are concerned about the power utility's ability to survive, reported News24.

Eskom has been struggling to supply the country with consistent electricity for years, and loadshedding has been implemented at record-high levels due to constant breakdowns at ageing power stations.

Read also

SANDF deployed to Eskom to reduce sabotage but expert fears task may be too great: “they can’t do much”

According to SABCNews Eskom's Chief Financial Officer, Calib Cassim said at the online results briefing that the government promised to cover some of the energy company's debt.

“Without government support, Eskom will not be able to meet all its debt-service commitments.”

SA citizens' comments are below:

Cathy du Plessis said:

"Let’s thank the ANC for all its corrupt policies and the destruction of South Africa."

Ivy Almacin mentioned:

"Why don't they privatize this failing entity, it won't get better, their corruption is at an all-time high."

Sethu Siganga posted:

"Reason for the life-threatening loadshedding. This country needs a whole new party to take over, otherwise, this level of corruption is too detrimental, and apparently no longer stoppable."

Silu De Man added:

"They must come and remove their meter boxes an poles, also remove the sun from the sky whilst at it,"

Read also

Copper thieves endanger 24 patients at Chris Hani Baragwanath, SA says criminals are “heartless”

Tony Burns wrote:

"And I suppose they are still going to pay themselves bonuses!"

Black Engineers' society slams Pravin Gordhan for defending de Ruyter: “His tenure at Eskom was a disaster”

Briefly News reported that the president of the National Society of Black Engineers (NSBE) and former Eskom engineer Mdu Mlaba has called Public Enterprises Minister Pravin Gordhan out for his constant defence of outgoing Eskom CEO, André de Ruyter.

According to the NSBE president, De Ruyter's tenure at the helm of the struggling power utility has been a disaster, and his organisation would not shy away from calling the outgoing CEO.

Source: Briefly News