Eskom Group Chief Executive Dan Marokane has revealed that while nearly 10 million households across South Africa are eligible for free basic electricity
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Eskom Group Chief Executive Dan Marokane has revealed that while nearly 10 million households across South Africa are eligible for free basic electricity, only 2 million are actually receiving it.
Last month, IOL reported that Electricity and Energy Minister Kgosientsho Ramokgopa said that the cost of electricity in South Africa was “unsustainable” and was driving many households deeper into energy poverty.
“We are revising the electricity pricing policy to address the issue of the cost of electricity. It's unaffordable. I mean, it's dealing a major blow to the disposable income of households.”
He added that for many families, the choice comes down to buying a loaf of bread or replenishing electricity units.
In an interview with broadcaster Newzroom Afrika, Marokane revealed that while around 10 million households in South Africa are eligible for free basic electricity, only 2 million are currently receiving it.
"There are about 10 million households that are classified as indigent in terms of their being eligible to receive free basic electricity. Only two million of those are actually receiving it," Marokane said.
He also noted that the current free basic electricity allocation was set around 15 years ago and may no longer meet households’ needs.
"So there's a gap there of some eight million households that are not receiving the free basic electricity that is allocated to them. We need to solve that problem so that, in the first instance, they get what the government provides for them. The second issue that we have raised as Eskom is that this free basic electricity quantum was estimated some 15 years ago".
Marokane also revealed that Eskom faces significant non-technical losses, including illegal connections, which cost the utility billions and contribute to strain on the electricity grid.
"We argue that the number needs to be increased to ensure that people who are indigent are not forced into finding other ways of accessing electricity.
"Because we want to focus on the illegal connections. We want to focus on those who are buying illegal tokens. That revenue loss from an Eskom perspective is significant".
IOL Business
mthobisi.nozulela@iol.co.za
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