Cape Town - Finance Minister Nhlanhla Nene's 2015 to 2016 budget took the correct approach in dealing with power utility Eskom's financial issues, ANC treasurer general Zweli Mkhize said on Wednesday.
"I'm pleased that there's a very strong effort to deal with the Eskom issues," he said.
"The allocation from government... and balancing out of the utilisation I think is an important one."
The commitment to involve the private sector in generating revenue was a positive move.
Mkhize said he was pleased with the taxation model Nene planned to use and that VAT (value added tax) had been left unchanged.
"I'm pleased that there was not an effort to tamper with the VAT as it has a very strong impact on the poor.
"The minister has done a good job in being able to balance the budget... it shows government's commitment to balancing the budget under very difficult financial constraints."
Nene was presenting his first main budget, for 2015 to 2016, as finance minister to the National Assembly on Wednesday.