POLITICS

Eskom’s instability has negative implications for SA – SACCI

With the high unemployment and declining economy, the country cannot afford to be plunged into Stage 6

SACCI statement on Eskom load-shedding stage 6 

8 December 2022

The South African Chamber of Commerce and Industry (SACCI) notes, yet again the announcement by the power utility Eskom, to plunge South Africa into load-shedding stage 6.

This level of instability in the provision of power has serious negative implications for a South Africa with high unemployment and a moribund economy. This makes it almost impossible for business to plan or expand and this is damaging SA’s prospect as an investment destination.

It is becoming increasingly clear that the solutions thrown at the Eskom problem are not solving the problem.

It is difficult not to draw the conclusion that those given the responsibility, from cabinet, the board and executive of Eskom are struggling to get on top of the situation. The continuing loadshedding problems are a reflection of failure to find permanent solutions.

A serious review of the entire Eskom ecosystem is urgent. This requires an independent, brutal and rigorous assessment of the root causes. Everything from governance, to operations, to technology, suppliers, people, customers and the external and internal Eskom environment needs a thorough looking into. The current solutions appear inadequate and are not working, despite Eskom spending hundreds of millions of rand on maintenance contracts, and external consultants.

We call on the government to call an urgent summit with all relevant former Eskom executives of merit and integrity, and other international energy experts, to work out the problem and come up with sustainable solutions.

We need an urgent, vigorous and rigorous solutions-intensive process.

Issued by Alan Mukoki, SACCI CEO, 8 December 2022