Eskom restructure is on track, says Gordhan
JOHANNESBURG - Minister for Public Enterprises Pravin Gordhan reiterated yesterday that there had not been any deviations from the “separation project” aimed at restructuring Eskom into three main divisions - generation, transmission and distribution - and that the utility had begun developing the roadmap.
“There is no deviation from this strategic path, not in the Cabinet or the government, contrary to persistent public speculation,” Gordhan said, responding to the State of the Nation address (SONA) debate on state-owned enterprises.
He said the presidential sustainability task team that was working on the project was looking at power supply policies and contracts, internal structural reorganisation, financial reporting (including auditing processes per division) as well as creating detailed cost allocations and service level agreements with the holding company. Gordhan said there were engagements with organised labour, particularly following the Sona announcements.
“The government will ensure that appropriate consultations will occur, in particular with organised labour on the implementation of the separation project,” he said. He said time frames for the appropriation bill to provide Eskom with an urgent bailout would be announced by Minister of Finance Tito Mboweni. He confirmed that the utility's funds would run out in October.