Energy plan crucial for the survival of Eskom – Mabuza
10 Oct 2019 - by
As a counter measure to the ongoing struggles and dire financial straits experienced at Eskom, Acting Group Chief Executive Officer, Jabu Mabuza, has urged for the implementation of an energy plan that will lessen the challenges experienced by the energy supplier.
“It is very critical to create a country energy plan as the next few years pose tougher challenges for Eskom and the energy industry in an ever-changing landscape,” said Mabuza.
Speaking at the Portfolio Committee on Public Enterprises in Cape Town on Wednesday, Mabuza, said government’s financial support was essential in quelling short-term liquidity concerns, but in the end there needed to be a set out plan in place if they ever want to turn Eskom’s fortunes around.
“The government financial support addresses our short-term liquidity concerns and relieves the financial pressure.”
“But in the end, it is very critical to create a country energy plan as the next few years pose tougher challenges for Eskom and the energy industry in an ever-changing landscape,” he continued.
Eskom has been in a state of emergency ever since announcing a net loss of R21 billion after tax in June – which is nearly ten times more than the R2.3 billion loss that the power utility posted in the previous financial year. With this in mind, Mabuza has reaffirmed the need for strategies that can stabilise and grow the company on all fronts.
“Our turnaround strategy to stabilise, separate and grow the company for financial and operational sustainability remains urgent. Those elements of the strategy that we can implement, we continue to,” Mabuza concluded.