Municipalities and government departments owe Eskom R50 billion - Ramaphosa

[G.A.S]

“New generation builds [were] needed two decades ago, and this has resulted in a national capacity shortage of between 4,000 and 6,000MW.”

And this doesn't even take into account that new capacity is needed to replace power generation that is near end-of-life right now :-/

 

[Nerfherder]

Eskom is coming for the R50 billion the South African government owes — Ramaphosa

South Africa has established a multi-disciplinary revenue committee to address municipal and government debt to Eskom — which currently sits at around R50 billion.

Eskom is part of the committee, and President Cyril Ramaphosa described the debts owed to the power utility as "unacceptable" while speaking to the National Assembly on Thursday, 3 November 2022.

 

[Nerfherder]

TIP to @Ramaphosa and @Godongwana

According to:

Big bailout for Eskom’s R400-billion debt

Godongwana said the plan to take over a significant portion of the utility’s debt sought to ensure Eskom’s long-term financial viability, something which repeated bailouts over the past decade have failed to achieve.

mybroadband.co.za

Government Taxpayers are going to give Eskom ~R200b...

Why don't ZA give R50b of this to the defaulting metros (+ Soweto) for them pay their debt to Eskom.

1. Eskom will still receive their R50b (indirect) + (R150b direct)
2. Metro's (+Soweto) will be debt free.
3. Eskom will be in a good financial position as it has received R200b
4. Metros will be in a good financial position as they will be debt free.

Two wins with one payment.

A win-win situation.

Ya, if we are going to bail them out anyway.....


The issue is that the debt is not only to Eskom, other Service providers need to get paid as well. So the money will get divided up.