From once having a vast energy surplus, the South African government has not made any of the necessary provisions for new coal plants and now faces catastrophic energy shortages.
Eskom CEO, Phakamane Hadebe said “a steady decline in coal levels is threatening the firm’s ability to keep the lights on.”
Eskom Chairman, Jabu Mabuza added “Eskom is in a state of severe financial difficulty. In its current state Eskom is not sustainable.”
This dark reality spells severe problems for the economic future of South Africa and the day to day lives of all its citizens.
Chamber of Business CEO, Melanie Veness said that this inefficiency and corruption was “unacceptable”.
The private sector is already struggling with poor economic conditions. “People are trying to create jobs, but this will be impossible to do with load shedding.”
She said, “If load shedding is extended to 2020, the damage to business would be incalculable over that length of time”.
To make matters worse, energy expert Ted Blom says load shedding could last much longer.
“I said a week ago that load shedding would last for at least five years. We have run out of coal, and if you do the maths, it will take five years to open a new mine.”
80% of Eskom’s power comes from coal.
Stage eight power cuts means we would be left without any power for 16 hours of the day.
Ted Blom warned that stage eight was a real possibility as Eskom has a shortage of approximately 100 million tonnes of coal.
Did the South African government not see it coming?
In 2007, the state-run monopoly Eskom had a mismanagement debt of R40 Billion.
Now, in the latest 2018 report they have a debt that has risen more than ten times to a total of R420 Billion.
Economist, Mike Schussler provided dire warning “This is a nightmare for South Africa… We are at the edge of a cliff”.
Vote Cape Party – Free The Cape
This report does not necessarily reflects the opinion of SA-news.