Why you need to pay for Eskom corruption and mismanagement

Mike Hoxbig

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There are two ways we can pay: by our taxes or our electricity bills. The latter is incomparably better. If the government subsidises Eskom from our taxes, that will make electricity prices falsely low, encouraging people to use more.
If we want to help the poor, better to give them a social grant so that they can pay the proper price for electricity; by which I mean the price that covers all of Eskom’s costs, including debt repayment.
What the actual f?

So we must pay for their grant which they can use to pay for their electricity. Eskom would be indirectly funded by taxpayers anyway.

How about no. Start by collecting outstanding debt or cutting those municipalities off if they don't pay. The poor already get a few units free. Then cut down on their bloated workforce and start prosecuting the fsckers sabotaging the place and holding the country hostage.

Don't make an Eskom problem my problem when there's some quick wins that haven't been used...
 

LetsDance

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Why is there no competion? And why are sub qualified people allowed to be hired. AA is stupid in this country with the population of 77% black to 9% white (just googled that).
 

RonSwanson

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There is a lot of truth in this article, very uncomfortable truths.

But that does not mean that it is all true. I disagree with this:

There is a worldwide ideological move towards solar and wind for grid electricity. It is driven by the false alarm over climate change, and it has proved to be an expensive disaster in every country that has tried it, including Germany, Denmark, Britain, Australia and the US. In each case, electricity prices have soared and electricity failures have increased.

It depends on the use case. For residential use, solar is fine, and for coastal and rural situations (you need space), solar and wind is great. These are proven. Businesses and primary industries either need Eskom, or need to invest in their own generation. Not all have the skills to do so. so they need to pay the ANC TAX, enrichment of cadres whilst they wax lyrical about empowerment which does not happen, and socialism which everyone knows has failed.
 
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Deandbn

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Well.. I think the anc / govt should take a big slice of their latest $175 billion loan ** and sort it out with that.. Fire the bastards that can't don't won't work and get on with it.
** the loan they're keeping offshore to. Supposedly pay dollar based accounts (straight into their Swiss bank accounts)
 

Napalm2880

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It's just a matter of time before government increase VAT to pay for Eskom and their many other failures.
 

John Tempus

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Why is there no competion? And why are sub qualified people allowed to be hired. AA is stupid in this country with the population of 77% black to 9% white (just googled that).

No competition because of monopoly and part of the monopoly is actually that Eskom will always have electricity available for paying customers. Eskom broke this agreement since 2008 meltdowns started yet apparently contracts only get enforced if you are the end user and not the provider.

Only after a few years of meltdowns post 2008 did Eskom start to entertain vaguely the idea of allowing IPP's to start setting up shop but this is just to save face and not that Eskom at all want these IPP's to operate.

Btw dear writer, Eskom is a private company except they operate as a private monopoly with their hands in the government pocket because the government still remains a majority share holder.

Eskom is not a completely owned and operated government utility like pre 94, please get your facts straight before commenting on State run enterprises vs private enterprises providing electricity.

The fact that Eskom up to 94 (and for the most part Eskom is still using the same installations today) no tax payer automatically received shares in Eskom is laughable. Eskom were funded entirely by tax payer money up to 94 and after 94 they magically went private and all that tax payer money just went along with that move for free.

The issue with Eskom is that we have the worse outcomes for both scenarios, Government run and Privately run.

Eskom is trying to make profit at a private enterprise level while having infinite free cash handed to them from the government side of involvement.

If you were to cut the profit driven incentive out and only keep the government element then Eskom could easily operate better than it is right now.

If you were to cut the government incentive out then Eskom would be forced to operate better than it is currently otherwhise they will not turn a profit ever.
 
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Deandbn

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There is a lot of truth in this article, very uncomfortable truths.

But that does not mean that it is all true. I disagree with this:



It depends on the use case. For residential use, solar is fine, and for coastal and rural situations (you need space), solar and wind is great. These are proven. Businesses and primary industries either need Eskom, or need to invest in their own generation. Not all have the skills to do so. so they need to pay the ANC TAX (enmrichment of cadres whilst they wax lyrical about empowerment which does not happen, and socialism which everyone knows has failed).
I am a resident, and no, solar is not fine for me, I need full on industrial strength electricity 24 hours a day to run my air-conditioning and my swimming pool and my dishwasher and clothes washer stove and TV and lights and computers..
 

Botha22

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...

How about no. Start by collecting outstanding debt or cutting those municipalities off if they don't pay. The poor already get a few units free. Then cut down on their bloated workforce and start prosecuting the fsckers sabotaging the place and holding the country hostage.

Don't make an Eskom problem my problem when there's some quick wins that haven't been used...
Not everyone lives in a well-run municipality. If municipalities are cut-off then all consumers are affected - paying and non-paying.
 

RonSwanson

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I am a resident, and no, solar is not fine for me, I need full on industrial strength electricity 24 hours a day to run my air-conditioning and my swimming pool and my dishwasher and clothes washer stove and TV and lights and computers..
That's pretty sad, so you are completely at their mercy?
I gather that you have some lekka tenders to make up for it. Each to his own.
 

Mike Hoxbig

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I am a resident, and no, solar is not fine for me, I need full on industrial strength electricity 24 hours a day to run my air-conditioning and my swimming pool and my dishwasher and clothes washer stove and TV and lights and computers..
And why wouldn't solar be able to run any of those things?
 

Mekon

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I am a resident, and no, solar is not fine for me, I need full on industrial strength electricity 24 hours a day to run my air-conditioning and my swimming pool and my dishwasher and clothes washer stove and TV and lights and computers..
Industrial strength electricity? So you use 3 phase 380 volts?
 

Mekon

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What we all can learn from this is that the cANCer cannot run anything, they cannot manage anything, they cannot be trusted, they lack any intelligence or accountability. African excellence seems to be that if it all gets royaly fukked up its still a success as long as the chief and his cohorts benefit financially.
 
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porchrat

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I'd be OK with chipping in to help repair the damage of corruption and incompetence if I could see genuine change happening. If I could see that this wouldn't happen again.

I don't see that change though. I see no attempt to materially reduce that bloated workforce. No attempt to become a profit making business again. I see no hardline approaches to getting clients that don't pay back in line.

All I see so far is that my money won't go to repairing the problem, but just funding the continuation of that problem in perpetuity.
 
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