I am not going to go into detail regards GDP, Gross Public spending or Moodys credit rating that may be effected.. I am going to highlight the R69bn for Eskom restructuring, which is a Provisional figure that will probably increase depending on the size of the tariff hike Nersa allows Eskom to implement.
“Eskom’s corruption has cost SA R1.4 Trillion” – energy expert. Ted Blom says, now the government has given them another bag of cash to steal from, ironic how the load-shedding suddenly ended after the R69bn was allocated to Eskom.
A brief family history – Energy Minister Jeff Radebe was appointed by Cyril Ramaphosa, Motsepe’s is Radebe’s brother-in-law – married to the businessman’s older sister, Bridgette. President Ramaphosa, who, as leader of the country, has been intricately involved in mitigating Eskom’s disaster, is also married to one of Motsepe’s sisters. Mr Motsepe has investments in renewable energy, this conflicts with Eskom as he supplies coal to Eskom and has control over two of the major maintenance companies to Eskom. Radebe, who drafted the Integrated Resource Plan and subsequently signed IPP contracts, has basically signed a blank cheque of South African Taxpayers money to his brother-in-law.
No due diligence was done regarding above, only a dictatorship type of appointment and a door opening to even more corruption and theft.
It is unfortunate that I must mention the above as my advice/comments are usually from a Financial point of view, but when ridiculous Budgets/Spending that effect the small businesses/taxpayers is not okay.