For Creamer Media in Johannesburg, I’m Sane Dhlamini.

Making headlines: DA delivers alternative Budget ahead of Godongwana’s speech, Eskom debt albatross hangs over South Africa’s plans to stabilise budget and, Continuous Stage 6 implemented, risk of higher stages as eight units break down

 

DA delivers alternative Budget ahead of Godongwana’s speech

Democratic Alliance Shadow Minister of Finance Dion George said that in this year’s Budget speech government must focus on stimulating the economy and creating a conducive environment for foreign investment.

George delivered the DA’s alternative Budget, ahead of Minister Enoch Godongwana’s 2023 Budget address on Wednesday, and said that previous Budgets had failed by making it difficult for households to put food on the table, while unemployment continued to rise and businesses destabilise.

George said that rapidly increasing debt and ongoing blackouts were also a hindrance in service delivery.

 

Eskom debt albatross hangs over South Africa’s plans to stabilise budget

Finance Minister Enoch Godongwana faces the task of incorporating a credible debt-relief plan for the stricken State power utility in the national budget while stabilizing government finances as record blackouts weigh on the economy.

The minister said in October the State will absorb between one- and two-thirds of Eskom Holdings' liabilities of about R400-billion.

The amount and some of the transfer terms are likely to be announced in his February 22 budget.

Nine of 17 economists surveyed by Bloomberg reckon the government can afford to assume half the utility’s loan obligations without compromising efforts to reduce the budget deficit and rein in debt.

Godongwana has previously said the National Treasury will make relief contingent on Eskom meeting performance targets and the transfer of funds will be staggered.

 

Continuous Stage 6 implemented, risk of higher stages as eight units break down

Meanwhile, Eskom has implemented continuous Stage 6 until further notice after eight generating units broke down on Sunday. 

"Given the high number of breakdowns, there is a possibility of further changes on the stages of load shedding at short notice," the power utility said. 

The breakdowns currently amount to 21 243 megawatts of generating capacity.

Since Sunday afternoon a generating unit each at Arnot, Hendrina, Lethabo and Majuba, as well as two units at Camden Power Station suffered breakdowns and were taken offline for repairs.

 

That’s a roundup of news making headlines today

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