News in South Africa 6th February:

Rescue measures for Eskom proposed

1. Rescue measures for Eskom proposed:

President Cyril Ramaphosa is “favourably disposed” to Cosatu’s proposal that would see the Public Investment Corporation, the Industrial Development Corporation and the Development Bank of Southern Africa take on R254 billion of Eskom’s debt, his spokesperson told Reuters.

Union federation COSATU proposed a package of rescue measures for Eskom – which struggles to meet the country’s power needs and doesn’t generate enough cash to service its debts – at a meeting with Ramaphosa and business leaders on Monday.

The cornerstone of its plan is for the Public Investment Corporation (PIC) and two local development finance groups to invest about 250 billion rand ($17 billion) in Eskom via a special purpose vehicle to reduce its 450 billion rand debt.

2. SARS links Trillian director to state capture:

The South African Revenue Service has attached the assets of state capture-linked firm Trillian and its sole director, Eric Wood.

During a liquidation application heard in the Gauteng High Court in Pretoria on Wednesday, brought by Eskom, it emerged that the revenue service had appointed a curator to attach Trillian’s and Woods’ assets.

The existence of the order was revealed during a liquidation application brought against Trillian and Wood on Wednesday.

3. Former SAA chairperson testifies:

Former SAA chairperson Vuyisile Kona has testified that he was offered a R500 000 bribe by Tony Gupta at the family’s Saxonwold compound in late October 2012.  He refused the money.

Kona, who was also a former acting chief executive of the flag carrier, was testifying before the commission of inquiry into state capture on Tuesday.

He said that in late October 2012 the struggling airline was in a state of flux. Its CEO and many of its board members had recently resigned, and he was overseeing the work of creating a turnaround plan to be presented to National Treasury.

4. Eskom statesload shedding could continue over the weekend:

Eskom says stage 2 rotational load shedding will continue until Friday, with a “high probability of cuts” over the weekend.

The cuts are due to a shortage of capacity and a higher demand for electricity.

The utility said it would not be able to suspend cuts for morning or afternoon peak traffic. It would, however, continue to “explore the pilot programme of providing load shedding respite”.

The utility reiterated there is an increased possibility of load shedding over the next 18 months as conducts critical maintenance. It asked consumers to assist in reducing the probability of load shedding by using electricity sparingly.

5. SAA accelerating job cuts:

South African Airways is accelerating plans to reduce its wage bill and intends to implement deeper jobs cuts than previously announced, says Numsa.


All information extracted from articles posted by https://www.businessinsider.co.za/ and https://af.reuters.com/ and https://www.fin24.com/

Leave a comment

Your email address will not be published. Required fields are marked *

Facebook
Twitter
LinkedIn