Deputy President David Mabuza told MPs that there are no plans to privatize Eskom.
“The government’s policy options and positions have not reached the point where privatization is seen as the answer to providing better solutions to the current challenges facing Eskom,” he said.
Mabuza was answering questions for oral reply in the National Assembly on Thursday.
He said the government is working around the clock to make Eskom a more efficient and effective state-owned power generation and transmission utility with the necessary capabilities to ensure security and stability of power supply.
He added that the utility is in an advanced stage of unbundling, which will transform the electricity sector.
“It would be inaccurate to characterize the current organizational transformation taking place at Eskom as privatization or any intention to facilitate it.”
He said the plant’s maintenance and performance had nothing to do with privatization or state ownership of the utility.
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The separation of Eskom into three subsidiaries—grouped generation, transmission and distribution—is designed to improve efficiency, greater transparency of performance and protection against corruption. Eskom will fully own the new transmission company, he said.
“His main responsibilities will include acting as an independent broker in the electricity market and encouraging capital investment in the industry and catalysing energy efficiency and spending.”
He said the utility is on track to separate generation and distribution by the end of 2022.