Eskom made a loss of R20.7 billion in the 2018/2019 financial year.
It’s the largest loss ever for a state-owned company in South Africa, far exceeding the R14.6 billion PetroSA lost back in 2015.
Acting Eskom board chair Jabu Mabuza briefed the media on the ailing power producer’s annual financial results on Tuesday afternoon in Johannesburg.
He gave reasons for taking on the dual roles of Chair and Chief Executive.
Mabuza said he realised that his dual role was a conflict of interest and that a new CEO must be found in the next three months.
I have availed myself to be a placeholder for the next three months as Phakamani steps down. I do this being mindful of the need for leadership stability in this organisation.— Jabu Mabuza, Acting Chairperson - Eskom
Eskom isn’t generating enough cash to cover its interest and debt repayments, despite tariff increases of more than 500% since 2007.
It owes about R500 billion, thereby threatening the collapse of the entire economy.
Listen to the interview in the audio below (and scroll down for quotes from it).
It’s a hospital pass that I’m ready to pass on… If it was my company, I’d have a CEO tomorrow… The adverts are out… I’m not available [beyond three months] …— Jabu Mabuza, Acting Chairperson - Eskom
We have overborrowed… Revenue is not sufficient to service our current debt… We’re selling electricity at 90 cents that we are producing at 112 cents…— Jabu Mabuza, Acting Chairperson - Eskom
We have pencilled in R33 billion of cost savings…— Jabu Mabuza, Acting Chairperson - Eskom
The President said we can’t retrench… The pain has to be taken by… suppliers, customers, shareholders, employees, management…— Jabu Mabuza, Acting Chairperson - Eskom
Enjoy The Money Show, but miss it sometimes?
Get the best bits emailed to you daily, right after it ends:
Recommendedby NEWSROOM AI
The Money Show’s Bruce Whitfield interviews Tabby Tsengiwe, Chief Communications Officer at Old Mutual Group.
About 6.7m people in SA are unemployed, up from 4.3m a decade ago. Bruce Whitfield interviews labour economist Andrew Levy.
Lance Williams (Managing Director at I-Capital) shares his stock picks of the week.
The Money Show’s Bruce Whitfield interviews Peter Attard Montalto, Head of Capital Markets Research at Intellidex.
It's "economic suicide", "a 130-page formula to destroy the economy", says the IRR. Bruce Whitfield interviews Terence Corrigan.
Personal finance expert Warren Ingram discusses ways to reduce your monthly expenses.
Health Minsiter Zweli Mkhize briefed the nation from the Khayelitsha Hospital in the Western Cape on Friday afternoon.
According to a statement released by his family a short while ago, Withers died of heart complications.
The former South African Defence Force commander died earlier on Friday due to what's been described as natural causes.
About a week into the national lockdown, the Ipid said it was working on 12 cases where officers have been implicated in wrongdoing during this period.
The initiative by Pernord Ricard South Africa will benefit at least 1,000 workers affected by the lockdown.
Library and Information Centre executive director professor Maria Frahm-Arp says the shield is reusable.
Hallfax CEO Femi Adeleke explains how the process of giving away the sanitisers work.
The organisation says it has sent a letter of demand to the City of Tshwane with no response.
Food critic Anna Trapido says baking can be quite soothing and people are looking for that.
Azania Mosaka speaks to travel correspondent Gabbi Brondani Rego on how you can still experience the world's best attractions.