Public Enterprises Minister Lynne Brown says she does not want to see any more delays in bringing the long-awaited Medupi power plant online in December.
The R105-billion power plant will go a long way to stabilise the national power grid, which has in recent months buckled under pressure to supply electricity to both residential and industrial customers.
“Medupi will come online in December 2014 and Kusile will come online in December 2015… It means I can pressure Eskom to make sure that in December 2014, Medupi is online.
Eskom CEO
Asked about who will fill the post of CEO at the power parastatal, Minister Brown said a suitable candidate had already been identified, but that she could not reveal more at this stage.
“This is why I intend taking this matter to Cabinet soon, with a view to announce a new appointment in the middle of August, to stabilise the company and to ensure that we have the skills and capacity within Eskom.”
Previous CEO, Brian Dames left the position at the end of the financial year. Since then, Collin Matjila has been Acting CEO.
Stabilising Eskom
Minister Brown said Eskom would have to show a real commitment to belt tightening and cutting wastage to overcome their financial woes.
The utility has in the past said that the National Energy Regulator’s 2013 third Multi-Year Price Determination decision to allow Eskom an 8% annual tariff increase left the company with a R255-billion revenue shortfall over a five-year period between 2013 and 2018.
“… The pricing structure has already created a big hole in Eskom’s budget… but they have also made a R7-billion profit this year. We need R250 billion if Eskom is to be on good footing…
Brown said by September, they should be able to announce what they have done to improve Eskom, so that the power utility is able to supply affordable electricity that can help the country to grow its economy.
Read the full article here: http://www.sanews.gov.za/south-africa/minister-brown-affirms-medupi-december-deadline
