Competition in South Africa’s electricity market: new law paves the way, but it won’t be a smooth ride
SOUTH Africa endured an electricity crisis from 2008 characterised by intermittent rolling blackouts and a growing culture of non-payment. The state-owned utility, Eskom, came to be regarded as the single largest risk to South Africa’s economy. At the end of March 2020, Eskom’s debt stood at R488 billion (US$27.4 billion). The government has attempted several measures to overcome the country’s energy problems. These have included new Eskom boards, new CEOs, bailouts for Eskom and a National Energy Crisis Committee that includes the private sector. Now it’s trying legislative reform. In mid-August 2024 President Cyril Ramaphosa approved a new law that…