The National Union of Mineworkers (NUM) and the Congress of South African Trade Unions (COSATU) say they remain opposed to the unbundling of Eskom into three separate entities. Last week, the Minister of Public Enterprises Pravin Gordhan gave the green light for the sale of Eskom’s distribution business to a newly formed state entity.
NUM says the unbundling process is a way for government to introduce privatisation. The union says it was consulted on this issue and that it is bad news for South Africans.
COSATU agrees with NUM, saying the unbundling of Eskom will not save the power utility from declining revenue, escalating debt, escalating primary energy costs and a realistic plant maintenance program.
Video: NUM, COSATU opposed to unbundling of Eskom
Last week, government dismissed suggestions that the unbundling of Eskom into three separate entities can be regarded as privatisation.
It says the plan is in line with a long-standing policy as well as a restructuring plan for Eskom.
It adds that Eskom’s current structure is no longer suitable to meet the country’s energy needs.
