Cdes, While we all agree that Privatisation is an threat to our long term nationalisation of entities as advanced by the SACP, COSATU and of late the ANCYL. It is correct for the movement to put this matter into perspective around the mandate of this Ministry. The National Electricity Utility (Eskom) has strategic role to play in our developmental path as a country and contrary to fact that tariff hikes are seen as the only source of supporting the expansion plan, long before now in 2003, the Cabinet decided to take 30% of the Generation sector to Private entities as IPP. We have never seen any IPP coming online because of the inherent role of Eskom as both player and Referee. Now if we are to continue to disguise the rules, as advanced then that what is needed is to cushioned the burden of increase away from the poor and Private parties should play a role, then why is it a problem now to want to fast track the decision taken then? I am not trying to defend 1st Enterprise Ministry but want clarity like many tax payers as to who should carry the burden for this expansion programme. Having Eskom as State owned is it not in the public good? Do we really need this injection of private equity in our entities to then dictate the transition? Then what happen to the fact that masses are still without access to this energy (mindful of the fact that 82% have access to electricity)? How far are we adjusting our baseline that seeks to see Universal access in 2014, informed by the continuing population growth? Hence the jobs we talk about are all driven by this electricity, be it for SMMEs or Big capital. In getting the answer to these question requires clarity on variety issues at the table. The commitment of Government to fund Eskom from Fiscus and not some quasi-Loan based on Treasury- Harvard based scheme as per the consultants or advisors . The financial model for Eskom and the differentiated approach in dealing with connection of new business and households together with ensuring that there is adequate Reserve Margin? Now if the State fund Eskom from the fiscus it means the entire tax base support this entities including those that do not have access to this service. Is this the correct move and what are the justification for citizen to pay for something they do not have? If this not good then those that use the service pay for it at what level of tariff? If we are to separate the two objective, 1st that there is a need for new Connections that requires New generation and the State as the sole-shareholder should carry the burden, 2ndly that there is a need for improve services including quality and security of the existing supply, which electricity end-users should pay for it. In order to ensure that this two objectives are carried forward at the same time requires some sacrifice, I think what is needed should be the reversal of Cabinet Decision and Policy of the 30% Private Sector participation in Generation. If we then agree that this decision stand we must then say what kind of intervention should be put in place to support such a decision? Does Cabinet decision of establishing a stand alone System Operator not protection enough to diversify this myth? I am calling it a myth because in practical world there is not going to be any effect to end-users who are at distribution level to benefits by this split but only Capitalist who are supplied at Transimisison level. The very same Munics will continue to charge us as they wish to strengthen their cashflow base and for their sustainability. The fact that the REDs programme has been stalled is a signal of this market flaws inherited in our system. I think it is correct for NUMSA to raise this question of the IPP (Privatisation) in whose interest? Capitalists or the new known comprador Bourgeois, who will take this stake in Eskom? Does it matter when a Capitalist is Black or White? Because all want to maximise profit. Therefore we should rally behind the call by NUMSA to make the Ministry to come clear in terms of long term policy direction of our National Utility. In conclusion, the Minister might come and go, our very own Communist (not sure now) Erwin arrived and decided that IPP is the way to go and reverse Jeff (also former Communist) decision to cluster Generation business of Eskom. What is at play here is that the minds at Public Enterprise have remained and very few fresh ideas came through all these years. The views of Hogan are not new to the circles of those in this sector. Therefore the view that suggest the formation of a team will not solve anything, NERT (comprised of Economists, Specialist representing BUSA, Energy Sector Players, Unions and Government) was put in place to deal with crisis and look at the model for funding, diversification, DSM, energy efficiency, security of supply etc. The labour play a critical role in this body, which look at thing at recommend to the Inter-Ministerial Team that then report at NEDLAC. If there is anyone to be blame, it will have to be ourselves as to how serious do we take our deployment. All this interventions are there, what we must ask is what is the commitment of Government to implement or even listen to this reports that even put proposal in place. I hope, we all come together and engage on this matter of Policy preference once and fr all. This is the only obstacle in our quest for better SA, with jobs etc. Lets talk
>>> Castro Ngobese <[email protected]> 2/26/2010 11:08 PM >>> ‘Hogan wants to privatise Eskom’ 26 February 2010 Kingdom Mabuza Public Enterprises Minister on collision course with union THE National Union of Metalworkers of South Africa (Numsa) has accused Minister of Public Enterprises Barbara Hogan of subtly trying to privatise Eskom. “This was what she said when she was hired for the job, and then she was compelled to retreat from a policy that simply has not worked,” Numsa spokesperson Castro Ngobese said yesterday. Numsa was not pleased with Hogan’s utterances that “we are not selling off, but getting equity partners. At the same time we need independent power producers” . Departmental spokesperson Ayanda Shezi yesterday said Hogan was willing to meet the unions to clarify her statement. Ngobese said: “There are clear indications that the Zuma administration is privatising Eskom despite failed intentions of the previous administration under Thabo Mbeki.” Ngobese said Hogan was “covertly implementing Gear interventions in terms of which national assets such as Eskom are handed to profiteers on a silver platter” . “The World Bank is attempting to build privatisation into its proposed 4billion (about R31billion) loan to Eskom, which Numsa formally opposes,” he said. Ngobese said Hogan should consider assembling a team of experts to investigate the crisis at Eskom. “The team, to be assembled in consultation with trade unions and civil society, should investigate the forces behind the huge tariff hikes, the procurement practices and the role of consultants,” Ngobese said. “As Numsa, we are prepared to go to the streets to oppose any clandestine, for-profit privatisation of Eskom .” -- You are subscribed. This footer can help you. Please POST your comments to [email protected] or reply to this message. You can visit the group WEB SITE at http://groups.google.com/group/yclsa-eom-forum for different delivery options, pages, files and membership. To UNSUBSCRIBE, please email [email protected] . You don't have to put anything in the "Subject:" field. You don't have to put anything in the message part. All you have to do is to send an e-mail to this address (repeat): [email protected] . -- This message is subject to the CSIR's copyright terms and conditions, e-mail legal notice, and implemented Open Document Format (ODF) standard. The full disclaimer details can be found at http://www.csir.co.za/disclaimer.html. This message has been scanned for viruses and dangerous content by MailScanner, and is believed to be clean. MailScanner thanks Transtec Computers for their support. -- You are subscribed. This footer can help you. Please POST your comments to [email protected] or reply to this message. You can visit the group WEB SITE at http://groups.google.com/group/yclsa-eom-forum for different delivery options, pages, files and membership. To UNSUBSCRIBE, please email [email protected] . You don't have to put anything in the "Subject:" field. You don't have to put anything in the message part. All you have to do is to send an e-mail to this address (repeat): [email protected] .
