Eskom unbundling: No job losses - ANC
09:17 Sat, 09 Feb 2019
Eskom unbundling: No job losses - ANC | News Article
The African National Congress (ANC) Treasurer-General, Paul Mashatile, says the unbundling of Eskom will not result in retrenchments at the power utility.

SABC reports that he was speaking at the ANC Gala dinner at Dan Lodge outside Mthatha in the Eastern Cape. 

President Cyril Ramaphosa announced during the State of the Nation Address (SONA) on Thursday that Eskom would be unbundled into three entities: generation, transmission and distribution under Eskom Holdings as part of addressing the state-owned enterprise’s challenges.

Eskom, which has a R419bn debt burden, has the potential to "severely damage" the country's economic and social development ambitions, the president said.

Ramaphosa did not provide a timeline for the splitting up of the entity, or say whether government would consider privatising some parts of it, which would be strongly opposed by unions. 

Mashatile says the unbundling of Eskom will address its financial woes.

The utility will undergo a 9-point turnaround plan and government will step in to support Eskom's balance sheet, Ramaphosa said. 

Finance Minister Tito Mboweni will provide more details in the Budget on February 20.

eNCA reports that unions have said they'll fight the split, tooth and nail, with some expected to meet with the president in the coming week to express their dismay.


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