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SERIOUS SHORTFALL

28th September 2018

By: Darlene Creamer

     

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Electricity utility Eskom has made it clear that it is indeed having problems in addressing the coal-stock shortages at some power stations. It attributed the problem partly to the fact that the Gupta family’s Tegeta had entered business rescue. However, it also reflects some bad decisions regarding the capitalisation of the cost-plus mines. Remedial actions are being taken. It is too early to say for certain, however, whether these will be sufficient to stave off disruptions, particularly as we enter the high-maintenance, and rainy, summer period.

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