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What lead to energy crisis in South Africa

News Desk by News Desk
February 15, 2023
in Magazine
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What lead to energy crisis in South Africa
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In response to the country’s protracted energy crisis, South Africa’s President Cyril Ramaphosa. He has proclaimed a national state of calamity, describing it as “an existential threat” to Africa’s most developed economy.

 

Ramaphosa described the issue as “an existential threat to the economic and the social fabric of our country” . He stated that “our most immediate goal is to restore energy security” in his state of the nation address on Thursday.

 

South Africans had been subjected to power outages for years. But 2022 witnessed more than twice as many blackouts as any other year due to the breakdown of outdated coal-fired power. The facilities and financial difficulties faced by state-owned power provider Eskom in purchasing diesel for backup generators.

 

The country’s economy, where the unemployment rate is already 33%, is being hampered by the erratic power supply. However this is also endangering jobs and economic growth for small enterprises.

The International Monetary Fund predicts that South Africa’s GDP growth would more than halve this year to 1.2%. Citing “structural restrictions,” decreased foreign demand, and power shortages.
Ramaphosa declared on Thursday that the national disaster would start right away.

In addition to ringfencing the electricity supply for vital infrastructure. Such as hospitals and water treatment facilities, the government would be able to “offer real steps to boost enterprises” as a result.

The rolling blackouts in January forced Ramaphosa to postpone his trip to the annual World Economic Forum in Davos, Switzerland. He also announced that he would name an electricity minister. Due to this he would have “full responsibility for overseeing all aspects of electricity response.”

 

The president also launched specific South African police service teams to “deal with the extensive corruption. And theft at many power stations” and anti-corruption measures on Thursday to “protect against any misuse of monies needed to react to this calamity.”

 

Eskom provides the great majority of South Africa’s electricity through a fleet of coal-fired power plants. That have long been overworked and neglected. Eskom has a relatively limited supply of backup power, making it challenging to take units.

Despite significant customer rate hikes, the utility has been losing money for years. And still needs government subsidies to stay afloat. Eskom’s inability to maintain power is thought to be mostly due to years of poor management and pervasive corruption.

Judge Raymond Zondo’s extensive commission of investigation into fraud and corruption in South Africa’s public sector. The former board of Eskom should be criminally prosecuted due to poor management and a “culture of unethical practises.”

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