/ 17 October 2000

SA’S ESKOM PULLS OUT OF GAMBIAN DEAL

SOUTH Africa’s state-owned power company Eskom has pulled out of a $75m partnership with Gambia’s state power company NAWEC, signed in June, say sources close to the deal. The deal, which had been expected to become operational from September 1, would have seen Eskom bring in equipment and provide senior management, with the World Bank providing a $60m loan to support it. Eskom said it would only pay taxes to the government, not into any special accounts, and some sources said disagreement over this aspect may have scuppered the deal. – Reuters