The company was struggling to pay for its ZAR385 billion expansion project. The company supplies 95% of the country’s power.
Jacob Maroga, chief executive of Eskom, informed that the company would be able to cover the shortfall of the remaining funds for the 2009 and its two coal-fired power plants and a hydro plant projects would continue. Both the projects are scheduled between 2013 and 2017.
Previously, the company was granted a 31.3% increase in electricity tariffs in June 2009. The company informed that it would rely on further hikes, borrowings and equity to raise the funds for expansion.
The company’s shortfall of funding would augment in 2010. The company anticipates a further hikes in tariffs of around 60%.
