Eskom's financial woes exposed

Chris Yellend, energy expert, says Eskom’s projected liquidity is very low at the moment.

A final draft report from Eskom to its shareholder for the second quarter of 2017 ending 30 September 2017 paints an alarming picture of funding difficulties and declining liquidity, primarily driven by perceptions of poor governance.

The power utility said on Monday it was not insolvent but was facing serious liquidity issues and would be in “trouble” if the situation persisted.

Yellend says the financial problems at Eskom are worrying and should be addressed.

The energy expert says the power utility needs to borrow R330 billion in the next five years.

As a result, Eskom says it’s in discussion with banks to provide a short-term “bridge-to-bond” facility to mitigate funding risks and improve liquidity.


This article first appeared on 702 : Eskom's financial woes exposed


Recommended

by NEWSROOM AI
Read More
[LISTEN] What to expect from the upcoming Investment Conference

[LISTEN] What to expect from the upcoming Investment Conference

Economic Development Minister Ebrahim Patel sat down with Karima Brown to talk about the three-day event.

'The issue of KPMG is a reflection on our law enforcement agencies' - COSATU

'The issue of KPMG is a reflection on our law enforcement agencies' - COSATU

Cosatu spokesperson Sizwe Pamla says there may be no political will to prosecute the private sector.

'I have not heard anybody saying there was undue pressure placed on them by me'

'I have not heard anybody saying there was undue pressure placed on them by me'

Minister Mthethwa denies exerting pressure on prosecutors to arrest Johan Booysen during his tenure as police minister.

ANC Limpopo postpones PEC meeting amid VBS fraud allegations

ANC Limpopo postpones PEC meeting amid VBS fraud allegations

The provincial executive committee was expected to meet on Thursday night.

'VBS is being investigated and there is progress in that regard' - Hawks

'VBS is being investigated and there is progress in that regard' - Hawks

A report published by the SARB shows that close to R2 billion had been looted from the bank by over 50 individuals.

Unravelling Gupta links revealed in Parliamentary Eskom inquiry

Unravelling Gupta links revealed in Parliamentary Eskom inquiry

Journalists Sikhonathi Mantshantsha and Kyle Cowan discuss just how the Guptas and their associates helped capture Eskom.

Popular articles
CT council to decide on charging De Lille following new forensic report

CT council to decide on charging De Lille following new forensic report

The Bowman Gilfillan report, yet to be made public, found that De Lille allegedly failed to report tender corruption to council.

Magashule has never taken responsibility for anything says Mxolisi Dukwana

Magashule has never taken responsibility for anything says Mxolisi Dukwana

Dukwana accuses Magasshule of taking him to Saxonwold and asking him to sign a project over to the Guptas for R2 million a month.

Judge in Omotoso case dismisses defence application to recuse himself

Judge in Omotoso case dismisses defence application to recuse himself

Judge Mandela Makaula has dismissed the defence application saying it has no merit.

Khayelitsha fire victims should get same help as Knysna says Sizwe Mpofu-Walsh

Khayelitsha fire victims should get same help as Knysna says Sizwe Mpofu-Walsh

Sizwe Mpofu-Walsh and callers discuss ways that corporate SA should help displaced Khayelitsha fire victims in Cape Town.