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The statements of Mr. Bobby Godsell, Chairperson of Eskom, that higher electricity tariffs charged by Eskom will not seriously impact on South Africa's economy, is nothing other than day dreams," Mr. Jaco Mulder, the chief spokesperson on Trade and Industry for the FF Plus says.
"The South African trading industry will have to implement new energy resources and production methods which will lead to huge capital expenditure. According to Godsell there is a natural and desirable moving away from highly electricity intensive industries to lighter industries. This is however not necessarily progress. It is forced crisis management. Godsell should also take into consideration that South Africa, as a result of poor government decisions, is at present experiencing huge skills shortages and that high unemployment figures and an ineffective work force is paralyzing the countries productivity," Mulder added.
"Godsell's remarks that higher economic growth was obtained in a time of lower power tariffs, is not in pace with the true extent of the reality that South Africa's economy has grown because all emerging markets' economies had grown. The proposed Eskom tariff increase affects my own as well as every other consumer's economic situation so drastically that a large number of people will simply no longer be able to do business or keep on living in their homes. This type of remarks is dangerous rather than reassuring", according to Mr. Mulder.
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