Former Eskom CEO paid far more than thought

Whats another R11m between friends? "He's entitled to it."
 
Vrotappel said:
Under his tenure this pesky think called maintenance virtually disappeared.
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The ash article mentioned he ordered 80% less maintenance, probably to max profits for a bigger payout when he left?
 
Vrotappel said:
Under his tenure this pesky think called maintenance virtually disappeared.
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Maintenance???

That's where they fix stuff that isn't broken, right? Nah, sounds waaay too expensive. That money could buy plenty of Benzes.
 
TJ99 said:
Maintenance???

That's where they fix stuff that isn't broken, right? Nah, sounds waaay too expensive. That money could buy plenty of Benzes.
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The Americans say, "If it ain't broke, don't fix it", that appears to be Eskom prevailing maintenance strategy technically called Run-to-Failure.
 
R13... said:
The Americans say, "If it ain't broke, don't fix it", that appears to be Eskom prevailing maintenance strategy technically called Run-to-Failure.
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And look how awesomely it's working. We should all stop servicing our cars too, and run them to failure. Well, taxis do that already I guess, that's why they're so super safe and never kill anyone.
 
Wow, I think it's time the EFF take aim at him for the situation we are in now.

Pay back the money! :)
 
In its interim results for the six months ended September 2014, Eskom saw its profit drop 24% to R9.3 billion from R12.24 billion before.

The group said it needs a substantial cash injection to ease liquidity pressure and to avoid another credit downgrade as it struggles to keep the lights on in Africa’s most advanced economy.
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How do you make that much profit, and still ask for a bailout?
 
Dlamaqhinga said:
They have R225 shortfall in their build program, those 2 new power station they're building are over budget
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Surely any shortfall would be included in profit calculations?
It that R225million, or R225billion?
 
Nod said:
Surely any shortfall would be included in profit calculations?
It that R225million, or R225billion?
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R225 billion...
The problem is that as they are getting downgraded due to all the failures, overruns in expenditure, etc, it is getting more expensive for them to borrow so they will have to pay a lot more interest on the money they borrow. They need a certain amount of profit in order to service the interest on the loans.

Once they have the new power stations online and have fixed the other large power stations, they will be rolling in it as they won't need to use the gas turbines (currently running inefficiently on diesel) and will be coining it...
 
I love the technical term for Eskom woes, taken from systems thinking, and that is a mess.

There is no political will to hold public works accountable, no will to hold Eskom execs accountable, overpayment of execs, a long history of new individuals in the roles, suspected fraud within the company, over-bureaucratic processes and Z doing his own thing with the russians on the side.

Systems thinking also has a few tools to resolve a mess - in this case, major multi-stakeholder engagement in a focused way to get agreement on what the actual problems are and what needs to be done. The problem is that if top leadership's vested interest are at odds with public interest, such a process will never happen and the mess will just get messier.
 
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