CAPE TOWN - Insolvent power utility, Eskom will reportedly pay its employees bonuses this year, despite its financial state, reports Eyewitness News.
The embattled state-owned enterprise which is in need of R72 billion will reportedly be paying bonuses this year, as long as its employees meet their targets.
Acting CEO Phakamani Hadebe, reportedly said that bonuses will be paid according to targets that were set by the previous board.
Business Report has contacted the power utility and is still awaiting comment on the matter.
Meanwhile, the National Union of Metalworkers of South Africa (Numsa) and transform RSA turned to the Gauteng High Court in Pretoria on Tuesday to obtain an urgent interdict to prevent Eskom from signing 27 renewable energy contracts, reports Business Report.
The applicants said if Eskom and government were given the go-ahead, it will not only result in massive job losses, but it will also result in economic suicide.
Judge Dawie Fourie was told by counsel acting for the applicant, Nazeer Cassim SC, that it is estimated that the total value of all Eskom approved contracts over the next 20 years (if these contracts are entered into) would amount to R1.1 trillion. This, he said was a significant financial risk to both Eskom and government and money the country could ill afford.
The applicants wanted the court to prevent the signing of these contracts, pending the main application which the Coal Transporters Forum (CTF) is due to launch soon. In that application CTF will ask that Eskom be interdicted from signing any power purchase agreement with any of the Independent Power Producers (IPP).
This is a developing story.
- BUSINESS REPORT ONLINE