R 60 billion Eskom loan to be written off

eskomSouth Africa is  no closer to gaining any meaningful insight into the imminent sale of R 23 billion worth of non-strategic state assets to fund the latest bailout of Eskom.

Next Wednesday, 24 June, two separate pieces of legislation will appear before Parliament, one that authorises a R 23 billion special appropriation to Eskom, and another which effectively writes off a R 60 billion loan that was made to Eskom in 2008.

“We recognise that in order to keep the country’s lights on, Eskom must remain solvent. However, we simply cannot allow the ongoing secrecy surrounding the sale of state assets to continue any longer,” said Malcolm Figg from the Democratic Alliance .

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“I have therefore today written to the Chairperson of the Standing Committee on Appropriations, Paul Mashatile, requesting that he summon the Minister of Finance, Nhlanhla Nene, to urgently brief the Committee on crucial information which is currently lacking, including:

  • Which state assets are considered “non-strategic” and therefore up for sale;
  • What process was followed to identify these assets;
  • How did the  bidding process for these assets proceed; and
  • Has a purchase, or multiple purchase agreements been concluded.

South African citizens are entitled to know what public assets are being sold. There should be nothing private about government business,” added Figg.