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Call to privatise electricity management

Cape Town - Privatising electricity management will solve some of the country's energy woes, according to civil rights organisation AfriForum.

"AfriForum believes that privatising electricity management will eliminate the impact of inept municipalities and solve problems with electricity supply," spokesperson Tiaan Esterhuizen said in a statement on Tuesday.

"Privatisation will also streamline debt collection and an accurate invoicing system."

Esterhuizen blamed poor financial management by municipalities for leaving taxpayers, who pay their accounts every month, without power.

He said that municipalities owe Eskom more than R2.3bnand the outstanding debt adds to the country's electricity crisis.

Meanwhile, Finance Minister Pravin Gordhan told parliament on Tuesday that South Africa is likely to have adequate electricity supply in around two years.

He said there would be three new power stations, including two massive coal-fired plants at Medupi and Kusile.  

Projects worth R110bn from independent power producers have also been approved to bolster energy supply, said Gordhan.

Outgoing Eskom CEO Brian Dames said on Tuesday that the country's power supply issues will continueto be a problem in the coming months unless the utility made aggressive interventions to save at least 3000MW.

"We are not out of the woods yet, the system remains tight and vulnerable to any changes as we go into winter."

Last week Eskom issued a power emergency and rolling blackouts for the first time since 2008.  

It said the grid was under pressure because of torrential rain in Mpumalanga, which had affected coal supplies.

 - Sapa, Reuters


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