The social compact on Eskom, now finalised by stakeholders in the National Economic Development and Labour Council (Nedlac), contains a detailed set of measures aimed at improving the sustainability of the company but pointedly avoids solving the biggest problem: the utility’s R488bn debt burden.

Eskom is unable to service its debt from the revenue it generates and is dependent on bailouts from the state and the continual raising of more debt to pay debt service costs...