#Budget2019: R23-billion a year allocated to Eskom
The Finance Minister says a Chief Re-organisation Officer will be appointed at Eskom.
This has been announced by Finance Minister Tito Mboweni during the tabling of his budget in Parliament.
"We are setting aside R23-billion a year - to financially support Eskom during its reconfiguration. The fiscal support is conditional on the appointment of an independent Chief Re-organsing Officer who will be jointly appointed by the Ministers of Finance and Public Enterprises with a clear mandate of delivering on the recommendations of the presidential task team," Mboweni said.
He says it's in line with the unbundling of Eskom announced earlier this month by the president.
"At the core of this plan is the subdivision of Eskom into three independent components. This will set the electricity market on a new trajectory, and allow for more competition, transparency and a focused funding model.Pouring money directly into Eskom in its current form is to sustainable."
WATCH LIVE: Mboweni delivers #Budget2019
Mboweni says state-owned enterprises continue to pose risks to the economy.
"Isn’t it about time the country asks the question: do we still need these enterprises? If we do, can we manage them better? If we don’t need them, what should we do?," he said.
He says the State will not be repaying any of the utility's multi-billion rand debt.
