Eskom’s New Roadmap Will Reposition, Not Privatise Power Utility – Gordhan

Riyaz Patel

Public Enterprises Minister Pravin Gordhan said Eskom’s new turnaround document was the beginning of government’s plan to reposition the embattled entity, and suggestions that privatisation is on the cards is “fake news.”

Gordhan on Tuesday released the so-called special paper on Eskom with plans to reform the struggling state-owned power utility.

The release of the paper has been eagerly anticipated by investors and ratings agencies who have stated that the financial and operational crisis at the power utility as one the biggest threats to South Africa’s economy.

Gordhan said a number of measures would be put in place, including separating parts of the power utility’s transmission.

The three arms – distribution, transmission and generation – will all remain functional subsidiaries of an Eskom holding company, said Gordhan.