Parliament has said that the Standing Committee on Public Accounts (Scopa) will conduct oversight visits to state-owned entity Eskom this week.
The oversight visit to Eskom will specifically prioritise the Medupi power station and will take place on Tuesday, October 8.
Parliament said that the committee will also meet with the power utility’s board and management to get an update on the entity’s performance.
This meeting will take place on Wednesday, October 9, and will focus on Eskom’s recovery plan, operational and financial performance, governance and compliance, and lastly, the company’s new cost saving initiatives.
Almost R6 billion spent burning diesel
Last week, Eskom admitted that it spent R5.92 billion on Open Cycle Gas Turbines (OCGTs) in the past six months between April 1, 2024, and October 3, 2024, to prevent load shedding. However, the utility noted that this amount was lower than last year.
The state utility admitted on Friday that it had to use diesel-fuelled auxiliary turbines to keep the power on.
Eskom used the diesel turbines to help units after 2,685 megawatts of capacity failed to return to service on September 23.
Eskom has been plagued in recent months by plant outages which have led to extensive usage and more pressure on the national grid, and as a result, have had to rely on open-cycle gas turbines.
The recent cold snaps over the country have also played a role.
“Higher-than-expected electricity demand driven by cold weather has contributed to this situation,” Eskom said.
Eskom said that the use of OCGTs generated 883 GWh of electricity which equated to 66% (R11.51 billion) less than the R17.43 billion spent last year over the same period for 2,862.32GWh. This represents significant improvements in the diesel bill compared to previous years.
Government opposes Eskom’s huge tariff hikes
The meeting with Eskom comes on the heels of the Minister of Electricity and Energy, Kgosientsho Ramokgopa’s statement last week that government would oppose tariff hikes from Eskom that are above 20%.
Ramokgopa acknowledged that the proposed tariff hikes by Eskom could have huge implications and “could erode the disposable income of households and businesses in South Africa”.
"The poor will have to choose between buying a loaf of bread or replenishing their electricity. We do not want to get to that stage (and) we need to resolve this," he said.
Eskom needs around R446 billion for the 2025/26 financial year and has proposed a controversial tariff hike that includes an astronomical 36.15% increase for 2026, followed by additional hikes in 2027 and 2028.
IOL NEWS