Eskom expects R22-billion loss

Hanno Labuschagne

Hanno Labuschagne

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Eskom expects R22-billion loss

South Africa’s Eskom Holdings SOC Ltd. is headed for another full-year a loss as fundamental problems remain even after making a profit of R83 million ($5.5 million) in the first half of its fiscal year.

The improvement in net income for the six months though September follows a loss of R1.9 billion a year earlier, the company said Monday in a statement on its website.

The utility forecast an annual loss of R22 billion that will mark the fourth straight year of being unprofitable.

[Bloomberg]
 
Well the amount of diesel was burnt this year, the amount of illegal connections you've had to cut off. Weird how you made more money and had less issues when tarrifs were lower. It's almost like people used more electricity because they could afford it, instead of trying to ration it, steal it or go off grid.
I've managed to get under 500 units a month, whereas in the past it would've been double that.
 
We have this and then we have Government worrying about people enjoying the festive season.

Viva ANC.
 
Lupus said:
Well the amount of diesel was burnt this year, the amount of illegal connections you've had to cut off. Weird how you made more money and had less issues when tarrifs were lower. It's almost like people used more electricity because they could afford it, instead of trying to ration it, steal it or go off grid.
I've managed to get under 500 units a month, whereas in the past it would've been double that.
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Please don't bring your Economics 101 logic in to this conversation, everyone knows in order to make more money, you simply hike prices as customers won't do a damned thing to curb their spend :rolleyes:
 
Neuk_ said:
Please don't bring your Economics 101 logic in to this conversation, everyone knows in order to make more money, you simply hike prices as customers won't do a damned thing to curb their spend :rolleyes:
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It seems it's the South African way, see it everywhere. Hey we're not selling cars, I know lets make it R20k more to cover the lose.
 
Lupus said:
It seems it's the South African way, see it everywhere. Hey we're not selling cars, I know lets make it R20k more to cover the lose.
Click to expand...

Sadly I wasn't joking about Economics 101, I did it as an elective in my final year of engineering at Wits. It was very light as it was aimed at BA students but one of the first things they taught was the link between price and demand. If ****ing BA students who can't feed a family of four can understand it...

P.S. No disrespect to BA students, I am sure you can feed a family of four, if you have money for electricity of course.
 
Well when you burn diesel and substandard coal that you pay way over the market related price for, give the mass voter base free electricity, and steal what is left over so almost zero maintenance can be done, you have the poo pile that is Eksdom.
Blegh! Bloody muppets.
 
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Neuk_ said:
Please don't bring your Economics 101 logic in to this conversation, everyone knows in order to make more money, you simply hike prices as customers won't do a damned thing to curb their spend :rolleyes:
Click to expand...
I curbed to almost zero, went Solar + Lithium, ROI is about 7 years, less if Eskom get above inflation increases.
 
South Africans when they see the latest Eskom news, but aren't really surprised!

tenor (1).gif
 
Just pull the money from SASSA. Thats like hardly anything.

But they say they lost 10% of sales due to covid. Thats a huge amount and I bet its got not that much with covid but mainly due to 2 reasons.
1. Some municipalities and businesses are moving off Eskom (Amazon, Cape Town City, Vodacom, Old Mutual etc).
2. Some businesses have closed shop and moving abroad (unless bankrupt).
 
Why dont they roll out some car charging points for electric cars. Thats a huge future potential profit for them....oops no. We will have to get rid of petrol attendants. That will cause too many jobless. Lets shelf that and keep selling petrol cars and get slapped with fines for pollution.
 
Debt securities and borrowings were reduced by R20 billion to R464 billion
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Anyone know what the interest rate Eskom pay on R464 billion?

For example,
5% requires R23.2 billion per year just to service the debt without paying back any of the capital.

EDIT:

1608013907702.png

Seems ESKOM is projecting ability to service 18% of debit
 
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Another COVID victim.
Time to call the IMF.
 
system32 said:
Anyone know what the interest rate Eskom pay on R464 billion?

For example,
5% requires R23.2 billion per year just to service the debt without paying back any of the capital.
Click to expand...
Chikken coming home to roast.
 
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