Pension funds shouldn’t be 'fearful' of Eskom - Ramaphosa

Currantly

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Dec 24, 2014
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President Cyril Ramaphosa has given the strongest indication yet that the savings of pension funds will be used to bail out Eskom’s debt obligations.

Briefing the South African National Editors’ Forum (Sanef) in Cape Town, Ramaphosa said South Africans "weren’t that good" at saving money and that pension funds were the main sources of money to save Eskom.

The national power utility has to repay over R450bn in debt.

"You have to go to the source of investments. Where can we get funding? We no longer have space to loan money [for Eskom]," Ramaphosa said in response to a question about discussions at the National Economic Development and Labour Council (Nedlac) on a social compact to bail out Eskom.

Cosatu has proposed that the Government Employees Pension Fund, through the Public Investment Corporation, should take over R250bn of Eskom’s debt obligations.

Many unions have since opposed the pension plan.
Linky
 

Pitbull

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Eskom is a failing SOE.

I would much rather someone starts a new Power utility and use my pension to do it in competition with Eskom. Government and it's people should start investing in an alternative to Eskom. Eskom is dead...
 

ToxicBunny

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Eskom is a failing SOE.

I would much rather someone starts a new Power utility and use my pension to do it in competition with Eskom. Government and it's people should start investing in an alternative to Eskom. Eskom is dead...
I could work with that... happily invest in startup IPPs.... so long as there is sweet FA government involvement in the running of the entity.
 

Pitbull

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I could work with that... happily invest in startup IPPs.... so long as there is sweet FA government involvement in the running of the entity.
Exactly.

No farking way I will let my pension be with a Company that has exposure in Eskom. Not by choice.
 

ToxicBunny

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Exactly.

No farking way I will let my pension be with a Company that has exposure in Eskom. Not by choice.
Problem is for most people, their pensions will be attached... and if you want your company tax deductible portion you will have to live with it.
 

ToxicBunny

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This just reinforces my view that Cyril Ramaphosa is a terrible business man.
TBH he is between a rock and a hardplace on this one...

I do question his business acumen, but he also has very little choice about this with the populist viewpoints taking hold in the countries politics and if the ANC wants to hold onto power they have to cave to them....
 

lkswan747

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Jun 28, 2017
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How can Ramapjoepol say that South Africans are bad savers? I have been saving my money in RA's etc and it was not done for the government to invest in a failing entity, it was done so that I wasn't reliant on a miserable R1,800.00 per month government grant! Go to hell you bunch of thieves!
 

wombling

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Nov 24, 2012
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There are so many articles saying how government has no more choices available to them except for pension funds to save Eskom. They haven't even tried. This is not the last option. They already know that they have 30000 too many employees at Eskom but instead of even thinking about that, they would rather fleece the SA public before doing the right thing. This is why SA deserves a downgrade to lower than junk.
 

MirageF1

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Jun 29, 2018
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Oh well there goes my measely R200.67 a month when and if I ever get to retire on this dark continent...
 
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