Eskom gets cash injection

Submitted by Chantelle.Whittles on Wed, 07/24/2019 - 14:16

Cape Town - Government has allocated an extra R59 billion rand, to ailing power utility Eskom, over the next 2 years so it can service its debt.  

This is according to a special appropriation bill seen by the news agency, Reuters.

In his State of the Nation Address, President Ramaphosa mentioned that government would draft the bill, which would allocate R230 billion to Eskom over the next 10 years.

The latest allocation, sourced from government’s National Revenue Fund, provides R26 billion for the 2019 - 2020 financial year, and R33 billion for the following year.

The bill also indicates that to promote transparency, the Finance Minister may impose conditions, to be met by Eskom, before any part of the amount is transferred.

Finance Minister Tito Mboweni, is expected to discuss the bill in Parliament on Thursday.

Photo: Twitter|Eskom