Despite reporting a R671 million profit in the six months to the end of September beleaguered state-owned power firm Eksom is predicting losses before tax of more than R11.2 billion in the current financial year.
On Wednesday it announced it was sitting with total debt of over R419 billion.
Deputy editor at the Financial Mail, Sikonathi Mantshantsha says there's only one way the parastatal can deal with the debt.
Eskom will need a cash bailout of at least 50 billion rand to just lower that pile of debt and it will have to take from you and I via the National Treasury.— Sikonathi Mantshantsha, Deputy Editor at Financial Mail
As we did back in 2014, we paid 23 billion rand cash and we wrote of another 60 billion rand in debt.— Sikonathi Mantshantsha Deputy Editor at Financial Mail
Eskom has already ready applied for a 30 percent increase in the price of electricity. So if you think your bill is really high...think again. Eskom wants another 30 percent increase.— Sikonathi Mantshantsha Deputy Editor at Financial Mail
Listen to the full interview above:
This article first appeared on CapeTalk : Customers to be hit hard by Eskom debt