Eskom Reports R30 Billion Profit Amid Regulatory Scrutiny

Eskom made R30.3 billion in profit this year. That money didn't come from selling more electricity, in fact, Eskom sold less power than before. It came from what you're now paying for every unit of electricity you use. Parliament's committee that oversees electricity and energy welcomed the result, saying it's Eskom's second year in a row of making a profit. They pointed to power stations working better, tighter control of spending, and using fewer of the expensive emergency diesel generators. But hidden in those same numbers is something that matters more to your monthly bill: Eskom's income went up by 4.1%, while the actual amount of electricity it sold went down by 6.2%. The only way that adds up is if the price you pay per unit went up enough to cover the drop in sales, and then some more on top. Keep up with the latest headlines on WhatsApp | LinkedIn Even the committee that praised the profit admitted this is hurting households. "The committee remains concerned that consumers continue to face the burden of rising electricity costs through the increase in electricity tariffs, which is placing many households under increasing strain," said committee chairperson Zama Khanyase. The profit also didn't come with the better service Eskom had promised. Power stations were only available and working 65.16% of the time, missing Eskom's own target of 70%. Eskom also fell well short of its goal for building new power lines, finishing only 270.8km of lines when it aimed for 423km. There's another warning sign too. Municipalities across the country now owe Eskom R119 billion, up sharply from R111.6 billion just months earlier. Khanyase called this "Eskom's single greatest financial threat." If municipalities keep failing to pay what they owe, it could undo all the progress Eskom has made, progress that ordinary households are already paying for through higher bills every month. Read the original article on Scrolla . AllAfrica publishes around 600 reports a day from more than 90 news organizations and over 500 other institutions and individuals , representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct. Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica . To address comments or complaints, please Contact us . AllAfrica is a voice of, by and about Africa - aggregating, producing and distributing 600 news and information items daily from over 90 African news organizations and our own reporters to an African and global public. We operate from Cape Town, Dakar, Abuja, Johannesburg, Nairobi and Washington DC. Get the latest in African news delivered straight to your inbox By submitting above, you agree to our privacy policy . We need to confirm your email address. To complete the process, please follow the instructions in the email we just sent you. There was a problem processing your submission. Please try again later.