Parliament on Eskom’s turnaround strategy and infrastructure build programme

No load-shedding in the pipeline, Eskom tells Committee

The Portfolio Committee on Public Enterprises received a briefing from Eskom on the progress made in the implementation of the turnaround strategy and the infrastructure build programme.

The Committee sought clarity on the media reports following the National Energy Regulator of South Africa’s (NERSA’s) announcement that the energy regulator would not grant Eskom R22.8bn billion variance instead Eskom received an amount of R11.241 million, which amounts to a 9.4% tariff increase for the 2016/17.

The Committee said last week’s disturbing reports from newspapers stated that NERSA attitude may influence Eskom decision in terms of keeping the lights on. Members of the Committee sought clarity regarding NERSA’s determination and whether it would not affect households.

Briefing the Committee, Eskom committed to keeping the lights, despite the reduced tariff amount it received from NERSA. Mr Brian Molefe, Group Chief Executive, said: “Our prognosis for the rest of the summer going into winter is that there will be no load-shedding and we will continue with a rigorous programme of planned maintenance without implementing load-shedding while also minimising usage of open cycle gas turbines”.

The Committee welcomed the concrete plans and measures put in place by the power utility to address and assist defaulting municipalities that owe Eskom. Total municipal debt overdue as at the end of January 2016 was R6 billion. The Committee was of the view that it was unfair of municipalities to put Eskom in this position as the power utility found itself in an untenable situation.

Chairperson for the Committee Ms Dipuo Letsatsi-Duba asked if the war room was still operational, considering the positive and improvements at Eskom. Ms Lestatsi-Duba enquired about the findings of an investigation that was instituted during the time of the war room which resulted in the suspension of senior executives at Eskom.

For media enquiries or interviews with the Chairperson, please contact:
Ms Yoliswa Landu
Tel: 021 403 8203
Cell: 081 497 4694
E-mail: ylandu@parliament.gov.za

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