Electricity and the huge tariff increases

Eskom is an entity for the ANC (African Native Communists) and for them it is about redistributing wealth to the new top elite in their socialist network. Why should it go about taking money from these top elite socialist in order to help the working class ? It goes against their core principals.
 
Can't wait to hear about the huge bonuses they will be paying out after the tariff increases.
 
The problem with their model is what invester or outside source will put their money into something that is run so badly that its existing machinery is falling apart due to deglect. It is sad but true. An article I read here stated that the electricity "market" needs to be open and Eskom needs to be privatised. That is a good idea, as long as the private sector can manage the business without interference from the gravy train!

Edit: Very nice article though! Very good...
 
Sorry, but this over-simplifies the whole issue, no wonder our country has so many problems. I do not think this Buys oke will do a much better job than the current bunch, with this sort of reasoning.

As to privatisation - in a normal environment, for sure and yes please, in SA I cannot see it going anywhere but SOUTH. Particularly with the historical and other legacy items at play.

And California, the 5th or 6th biggest economy in the world, screwed up their electricity vendor privatisation to the point of bankcruptcy - so I cannot really seeing our bunch making it.

But it was working and being maintained, was actually top company in this space in the world, before Cosatu starting running the show.
 
The government should control the power grid itself, and open up power generation (within legal parameters) to anybody who wishes to do so.
 
“We therefore propose a funding model where money is obtained through investments and loans, and compensation is paid over a period of time by means of dividends and repayments that are made possible by realistic electricity tariffs,” said Buys.
Click to expand...

Doesn't that sound like Telkom? 49% owned by Government and then the rest owned by Private shareholders. It didn't work then and it most certainly will not work now. They will always act in the best interest of the shareholders. This comment doesn't provide competition! They need to chop it up into smaller companies right from the start. No 10 year Eskom favouritism like they did with Telkom.
 
Only in Africa. The gov't can't supply so increase the price. Almost like toll gates, wait and then pay. Me thinks this country is fusked.
 
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