South African Parliamentary Committee Urges Proper Governance at Eskom for Optimal Performance

South Africa – The Chairperson of the Portfolio Committee on Public Enterprises, Mr. Khaya Magaxa, emphasized the need for proper governance at Eskom to ensure optimal performance and fulfill its mandate to provide electricity.

According to Parliament of South Africa, during a briefing by Eskom management on the power utility’s annual report and financial statements for the 2022/2023 financial year, the committee welcomed the stability in leadership and the appointment process of the Chief Executive Officer (CEO). Eskom acting CEO, Mr. Calib Cassim, reported a net loss of nearly R24 billion for the year, with the entity receiving a qualified audit opinion due to unresolved issues from the previous year. The committee was informed that municipal debt had escalated to R58.5 billion.

The committee expressed concern over Eskom’s financial management, citing borrowing to service debt as unsustainable. They noted the population growth from 48 million to 62 million over the past decade and Eskom’s ongoing inability to address increasing power demands. The committee also suggested exploring nuclear energy and highlighted issues of poor maintenance and ageing infrastructure at Eskom, directly linking these to the current loadshedding situation.