File image: Eskom logo


CAPE TOWN - The National Union of Mine Workers (NUM) noted the release of the Eskom's integrated results on Wednesday, saying the power utility was galloping into financial distress.


This despite an EBITDA of R38 billion, representing an increase of 14, 4%. However, according to NUM statement, the net profit has declined from R4.6 billion to R1 billion.

"The Eskom response to this poor performance is to embark on cost cutting measures, always directed at our members and other employees. We call upon the board chairperson to convene an urgent meeting with the NUM to discuss the crisis," said NUM Energy Sector Coordinator, Paris Mashego.

NUM said they welcomed Eskom's decision to take disciplinary action against former Eskom acting CEO Matshela Koko, who was suspended earlier this year after allegations of a possible conflict of interest involving his stepdaughter‚ who was a director of a company that scored R1 billion in business from Eskom.


"We demand that all corrupt activities within Eskom must be exposed and thoroughly investigated by an independent judge appointed by the Minister.

“All affected directors allegedly involved in corruption in the current and previous board must resign”, they said.

 

“The minister must convene a forum for all stakeholders to discuss the management and control of all state-owned enterprises.”


BUSINESS REPORT