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Eskom unbundling process is on track
- Transmission to be separated in December
- President Ramaphosa announced the unbundling in February 2019
South Africa’s Minister of Public Enterprises has announced that the unbundling of the state-owned electricity company Eskom, will complete in June. Pravin Gordhan said the unbundling process would be complete by June; however, the legal separation of the three entities will hit a major milestone in December. The legal separation of the transmission company from Eskom Holdings will be completed in December 2021. On the other hand, the generation and distribution companies will be legally separated by December 2022.
”The legal separation of the transmission company will be completed by December 31, 2021, while also working towards the legal separation of the distribution and generation companies with Eskom Holdings by December 31 2022”, Gordhan said.
South Africa’s electricity giant suffers several commercial and operational challenges. In February 2019, President Cyril Ramaphosa announced the unbundling of the utility company.