The South African Federation of Trade Unions (SAFTU) acknowledges that ESKOM is not being directly privatised, but that the current reforms are leading to the privatisation of energy provision. Our concern has always been the direct and indirect privatisation of Eskom, which will result in the privatisation of energy provision.
SAFTU opposes the private ownership of energy production and provision. That the chairperson of the Eskom board, Mteto Nyati, said that “there is no privatisation, but there will be private participation” makes no difference. This is still the privatisation of energy that we are opposed to.
The newly passed bill amending the Electricity Regulation Act (ERA) sets the legal framework for the privatisation of energy provision as it seeks to liberalise the energy generation market. The consequence will be the partial or total liquidation of public ownership and dominance in electricity production.
The Electricity Regulation Amendment (ERA) will impact the energy sector significantly, aiming to overhaul existing frameworks. This amendment proposes substantial changes, including the liberalisation of energy markets and the privatisation of energy provision. The ERA aims to transition away from the dominance of the state-owned enterprise, Eskom, towards a more diversified energy landscape involving private entities.
In its submissions to the Presidential Climate Commission, Eskom presented a plan that shows by the end of 2035, about two-thirds of electricity produced in the country will be produced by the private sector, as opposed to approximately 90% of electricity they are producing at the current moment.
SAFTU remains committed to a public pathway approach as a solution to the energy crisis now and in the future. This entails fixing Eskom and using it to champion the building of new renewable capacity.
The South African Federation of Trade Unions (SAFTU) acknowledges that ESKOM is not being directly privatised, but that the current reforms are leading to the privatisation of energy provision. Our concern has always been the direct and indirect privatisation of Eskom, which will result in the privatisation of energy provision.
SAFTU opposes the private ownership of energy production and provision. That the chairperson of the Eskom board, Mteto Nyati, said that “there is no privatisation, but there will be private participation” makes no difference. This is still the privatisation of energy that we are opposed to.
The newly passed bill amending the Electricity Regulation Act (ERA) sets the legal framework for the privatisation of energy provision as it seeks to liberalise the energy generation market. The consequence will be the partial or total liquidation of public ownership and dominance in electricity production.
The Electricity Regulation Amendment (ERA) will impact the energy sector significantly, aiming to overhaul existing frameworks. This amendment proposes substantial changes, including the liberalisation of energy markets and the privatisation of energy provision. The ERA aims to transition away from the dominance of the state-owned enterprise, Eskom, towards a more diversified energy landscape involving private entities.
In its submissions to the Presidential Climate Commission, Eskom presented a plan that shows by the end of 2035, about two-thirds of electricity produced in the country will be produced by the private sector, as opposed to approximately 90% of electricity they are producing at the current moment.
SAFTU remains committed to a public pathway approach as a solution to the energy crisis now and in the future. This entails fixing Eskom and using it to champion the building of new renewable capacity.
