NEVA MAKGETLA: Why SOEs keep plugging away at failing business models
The financial and operational emergencies at Eskom and SAA grab headlines. But they are not unique.
National state-owned enterprises (SOEs) as a group have reported losses over the past two years. Analysis of the 21 national SOEs points above all to the effect of the economic slowdown, combined with weak oversight systems. (The enterprises analysed include the SA National Roads Agency — Sanral — which depends on toll revenue, but excludes the water boards, the sector education and training authorities and Telkom.)