THE SYNOPSIS OF THE ESKOM CRISIS
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JUNE. 8, 2019
Eskom is by far the largest of South Africa’s many state-owned companies and supplies about 95% of the electricity used in Africa’s most industrialised economy. This near monopoly power utility has two major problems. Its operating costs are too high, and it hasn’t been selling enough power to service both its interest and debt repayments. They have been forced to implement rotating blackouts over the past few years to prevent a collapse of the national grid as its fleet of aging and poorly maintained plants struggled to keep pace with demand.
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