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Eskom's woes weigh heavy on South Africans


The Small Business Institute (SBI) is calling on government to accelerate the implementation of measures to stabilize embattled power utility Eskom.

Eskom escalated load shedding to stage 6 over the weekend, and announced a downgrade to stage 5 on Tuesday following a return to service of some units.

"It is cold comfort to many South Africans to hear news of stage 5; the economy, especially small businesses which are supposed to create 90% of jobs in 2030, is suffering from the rolling blackouts," says John Dludlu, SBI CEO.

"Load shedding is undermining everything we are trying to achieve as a country - from growth to jobs and poverty reduction. The investment drive by the president is being hobbled by uncertainty arising from unreliable power supply."

Dludlu says it is also inexplicable why government - as Eskom's sole shareholder - has not strengthened the Eskom board with appropriately qualified directors in the face of a deepening crisis."

In addition, the SBI is calling for the removal of remaining restrictions to licensing independent power producers, and that those with excess power be allowed to sell it to the national grid.

Meanwhile, the EFF has called for the immediate firing of Eskom's entire board, including Chief Executive Officer, Andre de Ruyter and Chief Operating Officer, Jan Oberholzer.

The party's national spokesperson, Leigh-Ann Matthys says the incompetence and arrogance of Eskom executives has plunged South Africa into a perpetual and unwarranted darkness that is killing businesses and livelihoods.

In a media statement on Tuesday morning, DA leader John Steenhuisen said this crisis calls for outside industry experts to lead the way.

"What we are proposing is that the President immediately dissolve the National Energy Crisis Committee, and appoint in its place an outside industry expert to oversee the implementation of the Energy Response Plan," said Steenhuisen.

"It is critical that this person is both apolitical and a leading expert in the energy field, and that he or she is sufficiently empowered to do whatever it takes to stabilize our current generation fleet and bring additional generation on board, without having their hands tied by the red tape that has held our recovery back until now."

And in a simultaneous television interview on Newzroom Afrika, Public Enterprises Minister Pravin Gordhan said government regretted that its energy provision is upsetting households and the economy.

"We would like to tell investors that we have a plan to deal with energy challenges," said Minister Gordhan.