Get more Mail & Guardian
Subscribe or Login

Gordhan appoints Eskom chair, Jabu Mabuza, acting chief executive

 

 

Eskom board boss Jabu Mabuza has been named the power utility’s acting chief executive officer and executive chairman for the next three months,

Public enterprises minister Pravin Gordhan made the announcement in a statement on Monday, following Eskom’s annual general meeting (AGM).

Mabuza will hold the post while Eskom’s board hunts for a replacement for outgoing chief executive Phakamani Hadebe, whose last day at the company is 31 July.

“Within the three-month period during which Mr Mabuza will be the Executive Chairman and Acting CEO, the Eskom board will conclude the process of identifying a suitable candidate to become the next Eskom [group chief executive officer],” Gordhan said.

Hadebe announced his resignation in late May, citing the toll the role was taking on his health.

The announcement comes as Eskom is due to publish its financial results on Tuesday – which are expected to reveal record-breaking losses of over R20-billion.

The company is also on the hunt for a chief restructuring officer (CRO), first announced in this year’s February budget. Finance minister Tito Mboweni announced the appointment of a CRO as a condition of the added financial support Eskom was given in the budget – essentially R69-billion in the coming three years. The appointment of a CRO is also in line with plans announced by president Cyril Ramaphosa, to restructure Eskom into three business units – generation, transmission and distribution.

While the CRO has not been announced, and there have been no moves on its mooted restructuring, Eskom’s financial position has deteriorated further. Last week Mboweni, tabled a special appropriations bill in parliament, allocating Eskom an additional R59-billion in the coming two years.

Although it would come at significant cost to the taxpayer and with severe ramifications for the fiscus Mboweni said, it was done to ensure that the company could continue to operate as a going concern

Subscribe for R500/year

Thanks for enjoying the Mail & Guardian, we’re proud of our 36 year history, throughout which we have delivered to readers the most important, unbiased stories in South Africa. Good journalism costs, though, and right from our very first edition we’ve relied on reader subscriptions to protect our independence.

Digital subscribers get access to all of our award-winning journalism, including premium features, as well as exclusive events, newsletters, webinars and the cryptic crossword. Click here to find out how to join them and get a 57% discount in your first year.

Lynley Donnelly
Lynley Donnelly
Lynley is a senior business reporter at the Mail & Guardian. But she has covered everything from social justice to general news to parliament - with the occasional segue into fashion and arts. She keeps coming to work because she loves stories, especially the kind that help people make sense of their world.

Related stories

WELCOME TO YOUR M&G

If you’re reading this, you clearly have great taste

If you haven’t already, you can subscribe to the Mail & Guardian for less than the cost of a cup of coffee a week, and get more great reads.

Already a subscriber? Sign in here

Advertising

Subscribers only

Capitec Bank flies high above Viceroy’s arrow

The bank took a knock after being labelled a loan shark by the short seller, but this has not stymied its growth

Zondo may miss chief justice cut

The deputy chief justice is said to top Ramaphosa’s list but his position as head of the state capture commission is seen as too politically fraught

More top stories

Council wants Hawks, SIU probe into BAT’s Zimbabwe scandal

The cigarette maker has been accused of giving up to $500 000 in bribes and spying on competitors

How Alpha Condé overthrew Alpha Condé

Since the coup d’état, Guinea’s head of state has been in the custody of the military officers. But it was the president who was the primary architect of his own downfall

‘The Making of Mount Edgecombe’: A view of history from...

Indian indentured labourers’ lives are celebrated in a new book, Sugar Mill Barracks: The Making of Mount Edgecombe

Case of men arrested with 19 rhino horns is postponed

Alleged rhino kingpin and a Mpumalanga businessman appeared in court on charges of the illegal possession and selling of rhino horns
Advertising

press releases

Loading latest Press Releases…
×