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Eskom’s recent interim results were good enough for S&P Global to hold the utility’s credit rating at CCC+ with negative outlook in its latest report released on Thursday night. In February, S&P downgraded Eskom to its seventh tier of junk, CCC+, from B-. Maintaining its negative outlook indicates S&P may cut Eskom to CCC, moving it from “substantial risks” to “extremely speculative” within the next six months. “Operational issues, including coal shortages mainly due to underinvestment at tied mines, as well as a recent above-inflation wage settlement and other challenges in achieving short-term cost-cutting goals, continue to place pressure on margins and cash flow,” S&P said in Thursday night’s media release. The credit agency’s latest report came shortly before Eskom announced it was escalating rolling blackouts from stage 1 to stage 2 because maintenance problems required it to reduce its electricity supply by 2GW. “At the same time, SA’s poor economic growth trajectory constrai...

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