Gordhan reports progress in Eskom unbundling

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Minister for Public Enterprises Pravin Gordhan says the process towards the unbundling of Eskom is progressing as planned. He says business models for the different divisions and corporate functions for the first phase of divisionalisation are at an advanced stage.

Replying to questions in the National Assembly, Gordhan said a total of 8 890 employees have been linked to the operating divisions. He says the legal separation of the divisions could happen by the end of 2021.

“Divisional managing directors have been appointed. Divisional boards have been appointed. Divisional boards for all three Eskom divisions have already been meeting. Cash-flow statements and Income statements are in place. We have achieved the first step in the creation of the market operator and central purchasing agency. Internal trading within the divisions is in place.”

In the video below, Minister Pravin Gordhan responds to questions from Members of Parliament :

Electricity consumption

The power utility is still struggling to deal with the electricity demand in the country. Earlier, Eskom urged the public to reduce electricity consumption, warning that its generation system is severely constrained.

The power utility says only 31 000 megawatt is available to meet demand tonight after the unexpected loss of four large units to unplanned breakdowns at the Kendal, Majuba and Lethabo power stations.

Furthermore, a unit at each of the Duvha and Tutuka power stations has not returned to service as expected.