Eskom, which is fighting for survival, has dragged its regulator to court over its tariff decision and is toughing it out against employees with a wage freeze, despite the growing prospect of a strike. At present it costs the company more to produce electricity than the National Energy Regulator of SA (Nersa) allows it to recoup from tariffs. The company also sits with a huge debt burden of R367bn, increasing by about R70bn a year. Eskom’s new management, headed by CEO Phakamani Hadebe, must cut costs, increase revenue and restructure debt if the company is to be sustainable into the future. But steps to do so — such as its wage freeze — have angered trade unions, which are set to embark on an illegal strike, with a meeting between unions to iron out details scheduled for Monday. Eskom workers are classified as essential services and cannot legally strike. Eskom will for the first time go to court to request a review of the 5% price increase it was granted earlier in 2018. On Thursd...
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