Eskom’s "three-deep junk status" of BB- with negative outlook remained unchanged, S&P Global Ratings said on Tuesday. S&P said that although the government had extended Eskom’s R350bn debt guarantee until 2023, uncertainty over this was a reason the ratings agency had lowered the power utility’s credit rating further into junk territory in December — this was offset by Eskom receiving a lower than expected tariff increase. The National Energy Regulator of SA (Nersa) granted Eskom a 2.2% tariff increase for its coming financial year. S&P said it had expected the increase to be 8%.
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