The South African Federation of Trade Union (SAFTU) has described Eskom’s significant electricity tariff increase as unjustified.
Electricity tariffs have increased by 15 percent.
Consumers are also facing substantial fuel price hikes this month. Many people have lost their jobs and had their salaries reduced because of the coronavirus pandemic coupled with lockdowns.
SAFTU Secretary-General Zwelinzima Vavi says the electricity tariff increase is nearly three times higher than the 2018 projection.
“Between 2007 and 2020 the price increases of electricity in this country ran to 460% before inflation in real terms, that was totally unjustifiable. We now into the 13th year of load shedding. Eskom is using coal-powered generation with completely exaggerated prices.”
Audit into Kusile and Medupi Power Stations
SAFTU says it intends to call for a forensic audit into Eskom’s Kusile and Medupi Power Stations.
SAFTU says fraud and corruption at Eskom are costing cash-strapped South Africans dearly and those responsible must be brought to book.
SAFTU has laid charges of corruption, fraud and money laundering against the leadership of Eskom, South32, Seriti, Pembani and others.
Vavi says not only is Eskom buying coal at inflated prices, but companies linked to the ANC such as Chancellor House and Hitachi have received Eskom contracts to supply boilers to Medupi and Kusile power stations.
“We laid charges against them this week. They are using these inflated rates of coal and the people who are benefitting from it include unfortunately companies that are linked to the ruling party such as Chancellor House, Hitachi and others who have benefitted immensely from the Medupi and Kusile corruption. We going to lay one more charge in the next two weeks against one of these companies. In the next month or two, we going to force a forensic audit of Kusile and Medupi.”
