Eskom sees the light

25 November 2015 - 02:25 By Penwell Dlamini

Eskom's CEO has promised a winter free of load-shedding if his plans don't get derailed. The parastatal's head, Brian Molefe, yesterday presented Eskom's financial statements, which showed a steady performance, with net profits increasing by 22% to R11.3-billion.More impressively, there were only slightly more than two hours of blackouts in 102 days."Unless things go terribly wrong, we will not have load-shedding. We have a plan, that we have shared, of how we will do maintenance and ensure that we have enough electricity right through winter next year," Molefe said.Presenting his company's results for the six months to the end of September, Molefe said Eskom maintenance had become more efficient, reducing the risk of load-shedding.Earnings before interest, tax, depreciation and amortisation rose by 9% to R24.9-billion, and cash flow from operations increased by 13% to R23-billion.Eskom was able to secure funding of R46-billion against a year-end target of R55-billion. Of the amount secured, R19.8-billion had been drawn. The Treasury provided R10-billion in the reporting period and a further R13-billion was expected by March.Eskom's total operating costs increased by 7% to R71.3-billion and primary energy-generation costs surged by 7.7% to R41-billion. The bill for repairs and maintenance grew by 11.2% to R3.7-billion.No bonuses will be paid to management this year.Municipal debt of R11.6-billion continues to hobble Eskom.Soweto alone owes Eskom R9.7-billion, of which R9.1-billion is older than 60 days."We have 150000 customers in Soweto," said Eskom's group executive for customer services, Ayanda Noah. "We are looking at converting 34000 to prepaid [initially] and the balance over time."Sowetans in Orlando West took to the streets in May to protest when Eskom tried to introduce prepaid electricity meters. They refused to accept the meters, arguing that they were "not affordable". In fact, many people had been obtaining free power by setting up illegal connections.Eskom has signed 50 payment agreements with municipalities, including with the 15 most indebted...

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