After confusion as to whether Jacob Maroga, Eskom’s CEO had resigned and the confirmed resignation of board chairman Bobby Godsell it is clear there is an urgent need for stability.
Equally distressing is the fact that race has been introduced as an element in the saga – predictably by the ANC Youth League – although it is significant that the National Union of Mineworkers has stated its support for Godsell in this regard. It is regrettable that the issue of race should be more important than concerns about the efficient management of this country’s power supply.
While we hold no brief for Maroga, it would be unfair not to concede that problems around power generation capacity stem from when the government was bent on privatising many of the state-owned enterprises and therefore saw little purchase in funding the capital programme of the power utility. A change in policy and the significant spurt in economic growth resulted in the power shortage that led to load shedding.
That, however, does not explain problems around the supply of coal, for example, for which the existing management must take responsibility, and a number of other concerns raised by the Eskom board.
The real question is how the current situation should be addressed, bearing in mind the challenges Eskom faces, not least to ensure an adequate supply of power for the Fifa 2010 World Cup in eight months time. In addition, there is the need to retain the confidence of the market if the utility is to be able to raise the funds required for its expansion programme.
Without question the first challenge is to appoint a chairman who can bring the level of experience and integrity that will inspire the confidence that has now been destroyed. Secondly, there will be a need to address Maroga’s position.
Most importantly, rather than interfere in management issues and take sides in disputes, government and specifically Public Enterprises Minister Barbara Hogan should concentrate on ensuring Eskom and the other parastatals adhere to the state’s developmental programme rather than pursuing their own personal agendas.
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