Archive for the ‘DA news and views’ Category


Energy Crisis was foreseen

16 September 2009

eskom-logoRemember the rolling blackouts and load shedding we experienced at the beginning of 2008? It was the reason we set up this blog.

Well, it turns out that Eskom got expert analysis six months before pointing out the rampant mismanagement and incapacity at Eskom’s Generation Primary Energy (GPE) – responsible for keeping the (coal) fires burning. Read the rest of this entry ?


From bonuses to bailouts – Eskom’s financial mismanagement

28 August 2009

Eskom’s negative financial results exposed the fallacy that the ANC government was able to run state owned enterprises (SOEs) in “the public interest”, the Democratic Alliance said on Thursday.

The parastatal last week reported a R9.7 billion loss for the last financial year.

In 2007/8 Eskom had to be bailed out to the tune of R60 billion.

“It appears that Eskom needs an additional R 283 billion for its capital expenditure program,” said DA Shadow Minister of Public Enterprises Manie van Dyk. “As a consequence, it seems likely it will once again have to be bailed out, a cost that will be borne by the South African taxpayer.”

Van Dyk said Eskom’s results called into question whether government was either willing or able to manage SOEs to the benefit of the public, and whether it was not simply a way to entrench the system of cronyism that was eating away at the social fabric.

“The awarding of bonuses to senior management, despite the financial crisis, exacerbates Eskom’s situation,” he said.

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DA condemns tariff hike, calls for sector reform

25 June 2009

Today’s decision to grant Eskom a 31.3% tariff rise for the 2009-10 financial year illustrates the failure of the ANC’s policies that have promoted an uncompetitive, inefficient energy sector, says DA Shadow Minister for Energy, Sej Motau.

“The Democratic Alliance (DA) has stated repeatedly that a tariff hike of this nature will have vastly detrimental consequences for South Africa’s poorest citizens, and we are deeply concerned that government is sitting idly by while the fundamental problems within Eskom, and the energy sector more broadly, are not adequately addressed.”

Read the full statement >>


Further bad planning by Eskom leaves the South African economy holding the torch

17 March 2009

2008 was a calamitous year for Eskom, in which it failed to keep the lights on regularly. The announcement today that Eskom has yet to finalise its electricity tariff application for the next financial year is clear evidence that its poor corporate planning record has continued into 2009.

The electricity supply and its pricing are crucial in determining the competitiveness of our economy. This uncertainty has a hugely detrimental effect on service delivery and on South Africa’s attractiveness as an investment destination.

Read the full statement on the DA’s website >>


Video – Helen Zille endorses Earth Hour

9 March 2009

DA MP joins cross party initiative to introduce feed in tariffs for renewables.

29 October 2008

Renewable energy is much spoken about in South Africa, although there never seems to be any progress. It is frustrating to watch the South African government plan massive investments into coal and nuclear which will lock this country into a particular (mostly uncertain) energy future while there are at the same time numerous other technologies that need a small leg up, but can then flourish on their own.

A couple of MPs from various parties have decided to take a stand on this matter. Dr Ruth Rabinowitz (IFP), myself (DA), Lance Greyling (ID) and Judy Chalmers (ANC) have come up with a private members legislative proposal aimed at introducing Feed In Tariffs for renewable energy production. The proposal has gone forward in the name of Dr Rabinowitz. Read the rest of this entry ?


Eskom downgrading – DA calls for government action

14 August 2008

Statement by Manie van Dyk MP, DA Spokesperson on Public Enterprises.

In light of the downgrading of Eskom by Moody’s Rating Agency, and pending ratings by Standard & Poor’s and Fitch rating agencies, the Democratic Alliance (DA) calls on the government to provide a clear plan on how it is going to help Eskom raise the R343 billion for its capital expansion programme without resorting to tariff increases.

Government is the only shareholder in Eskom and should thus adopt actions that will bolster the utility’s plummeting credit rating, and ensure that the South African public is receiving the service from Eskom it deserves.

It is a matter of concern that the downgrading comes at a time when the business community and South Africans are reeling from soaring food and fuel prices – any further tariff hikes by Eskom will negatively affect our growth prospects.

Read the rest of this entry ?