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Eskom extends power cuts as crisis persists

Eskom says it does not suspect sabotage as a cause for unplanned outages.

South African power utility Eskom implemented major electricity cuts for a third straight day on Tuesday, as a shortage of generating capacity exposed the frailty of the struggling state-owned firm despite government promises to revive it.

President Cyril Ramaphosa is trying to reform Eskom, which supplies more than 90% of the power in Africa’s most industrialised economy but is drowning in more than $30 billion of debt, to lift the economy before an election in May.

Read: Eskom to cut 3 000 MW from power grid on Tuesday

The cash-strapped utility said it would cut 3 000 megawatts (MW) of power from the national grid from 0600 GMT on Tuesday, likely until 2100 GMT, a day after cutting 4 000 MW in the worst power cuts seen in several years.

Around a third of Eskom’s 45 000 MW capacity is offline.

A senior generation official, Andrew Etzinger, told Reuters that around 11 000 MW was offline because of plant-related problems, while approximately 5 000 MW was out of service because of planned maintenance. A further 2 000 MW was unavailable because of a shortage of diesel.

State-owned oil company PetroSA said it was in talks with Eskom over emergency diesel supplies.

The power crisis prompted an urgent meeting of Eskom’s board of directors and executives with Public Enterprises Minister Pravin Gordhan on Monday, when it also pummelled the rand currency. On Tuesday the rand was little changed against the US dollar.

Etzinger said Eskom was aiming to end the power cuts by the end of the week by bringing some generating units back online.

“No sabotage”

The cuts are prompting frustration among ordinary South Africans and shop workers, many of whom do not have access to backup power sources like diesel generators.

“We’re struggling,” said Eunice Mashaba, a manager of a textile shop north of Johannesburg.

“Yesterday the power went off at half past four so we had to close the shop early. Today we came in and there was no power. Most of my customers don’t carry cash, they have to swipe and the (card) machine doesn’t work.”

Some firms in the mining sector, the backbone of the country’s economy, are looking at alternatives to reduce their dependence on Eskom.

Miner Harmony Gold said on Tuesday that it was in talks to build a 30 MW solar plant to supply power to some of its assets, in an effort to cut its electricity costs and dependence on Eskom.

“Our Eskom bill is massive. To replace Eskom would be a fallacy, we won’t be able to do that. However, where we have long-term projects we can start building solar plants,” Harmony Chief Executive Peter Steenkamp said at a presentation of the company’s results.

Read: Medupi units drowning in ash as contractor forced to withdraw

Ramaphosa, who announced a plan last week to split Eskom into three separate entities in an effort to make it more efficient, has said the latest power cuts are “most worrying”.

The president’s plan to split Eskom faces opposition from powerful labour unions and from within his ruling African National Congress party, while some analysts have said a bolder approach is needed to address the financial rot at the utility.

Etzinger said Eskom was for now treating unplanned outages at some of its power stations as technical breakdowns, despite speculation from analysts that disgruntled union members could have sabotaged some units.

“There’s no reason to believe it’s sabotage,” he said.

 

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Spin of the lowest form; reminds me of the firepool saga. The chances of 6 Units going down simultaneously is a over a billion to one. “… for now does not suspect sabotage is the cause of unplanned outages at some of its power stations, a senior Eskom generation official said on Tuesday”

So basically it’s the contractors building for Eskom that are the cause of loadshedding this week (according to BDLive etc) but this will be resolved by the end of the week? Those contractual fights will go on for years.
Why aren’t the media thinking about what Eskom is spinning to them? You can only solve something by the end of a week if it is an interim problem which points to coal, diesel, gas supplies or maintenance that wasn’t done leading to a breakage and unplanned outage.

Eskom is in a death spiral… the more its reliability comes into question, the more its biggest customers — industry, manufacturing and business — will pursue other power supply options.

A quick calculation I did:
From a 2017 Businestech article 480 000 tax payers pay 61% of tax. $30B of Eskom debt equates to R541 052 that each of them must pay back at some point. Personally, if I had R541k lying around, I’d rather spend it on a solar installation for my house and a new car.

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