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eskom and its a** thinkin

The KWEDZA HOD

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So I am watching morning live like every morning, down side is I woke up a bit later.

I'm welcomed by: eskom wants to increase its tarriffs by 35% every year for the next three years!! That's f***en 105% in three years, f***en 105% are they dickeheads? Failed pronstars?

Any thoughts of what triggered this a**holeness? And most importantly, the name of the fool who brote this thinkin, exact name!


Blac Satyr

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I was very shocked to hear that stuf few weeks ago, these companies knows how to rip us off in style. now hellkom is saying we use excessive electricity during festive season cuf that
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The KWEDZA HOD

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This is just by far the dumbest increase I think, so what's gonna happen after 10 years? We gonna be workin just to pay off elec bills?


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use electricity wisely, don't leave site of ya woman, giving her a chance to use that vibrator......

do u think if ek'sdom were a privately ran company would they still be in the predicament they in?
cats failed to maintain their numbers and now the only solution is to hike the rates, cut off power in villages and small towns and we the ones to foot the bill.
the greatest rides u'd ever experince is upon the DEATH STAR....


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use electricity wisely, don't leave site of ya woman, giving her a chance to use that vibrator......


SMH
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Lets see,Apologies if you feel left out understanding with the graph n shit below.Eskom haven't built a power plant in more than 15 years, and have gotten rid of their skills base, and in the meantime building power plants have become substantially more expensive since the last time they looked. Eskom therefore should get out of the power plant building business, because they do not have the skills to do a cost effective job. They'll be inefficient enough trying to manage & maintain power generation and distribution. contend that Eskom was asleep on the job over the past 15 years, and have covered their annual shortfalls with subsidies from govt with our tax money. Now the govt won't easily subsidise them anymore, due to other pressing needs, and in anycase Eskom keeps surprising the govt by asking for increasingly more, which screws up the govt budget. So Eskom's remaining alternative is to go straight to the taxpayer, via rates, as they have no other way out. Maybe if Eskom was privatised after 1994, we wouldn't be getting these "shocks" now?





The first depicts government's preferred approach to the tariff increase i.e. a compounded 43% increase year on year. This will kill most energy intensive businesses in SA and probably shave a few percentage points off our GDP growth, never mind increasing inflation and interest rates and ruining any chance of you paying off your mortgage,billls etc any time soon.

The grey area depicts the most likely price region (based on volatility and the forward curve for German wholesale power). Clearly the price here is sensitive to the ZAR i.e. if the ZAR strengthens the German power price will look cheaper. Consider that Germany buys our expensive export coal, ships it all the way to Europe and then barges it down the Rhine to their power stations before burning it. And yet the wholesale power price index (Phelix) on the European Energy Exchange (www.eex.com) is basically where our current power prices are. Don't ever believe the lie that gets peddled that we still have the cheapest power in the world!

Now the interesting bit.... The blue line is what our electricity price should be a**uming Eskom sold power linked to the coal price (as is done in Europe) and they hedged themselves against the current coal forward curve. This line depicts the price a**uming Eskom bought ALL THEIR COAL ON THE SPOT MARKET!!! Which they don't. They actually buy their coal on a much cheaper cost-plus and fixed price contract agreement. THIS ALSO INCLUDES A BUILT-IN 30c/KwH profit margin for Eskom, meaning they would never make a loss based on fuel prices. Far better than linking their power price to something arbitrary such as aluminium.

The price of electricity in Germany is currently at 0.20 a kilowatt hour, which is about R2.00, compared to our electricity cost of 33c (South African cents) ...

Wholesale European power for delivery in the next quarter is currently trading around 49.20/MwH or about ZAR532/MwH (see graph) or ZAR0.532/KwH and then finally ZARc53.2/KwH. I am being a little unfair in comparing wholesale European power prices to average grid offtake prices in SA of 33 cents so let's add on ZARc30/KwH for European grid distribution etc. That still makes ZARc83.2/KwH which is still less than Eskom's 'stable' price of 88 cents. Clearly the strong ZAR makes European power prices seem a little lower right now.



The KWEDZA HOD

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I do agree, if eskom was a private enterprise, we would be lookin at a different story!

What are the alternatives of kakkom using green power sources? Like wind, water generated stuff, have they mentioned anything about green power these fools, or have they grey bums not heard of it?


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Gas is the way forward ! companies like British Gas & am sure there's many more out there should invest in SA instead of Eskom running a monopoly !
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Mrs Jones

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I do agree, if eskom was a private enterprise, we would be lookin at a different story!

What are the alternatives of kakkom using green power sources? Like wind, water generated stuff, have they mentioned anything about green power these fools, or have they grey bums not heard of it?
There's not enough wind to support wind turbines and those things cost a fortune. They could be used as boosters for the main grid (injecting VARs into the system during peak hours when voltage is low) but not as your main source of energy like Koeberg or Maduvha. This goes for hydro as well, there's just not enough rainfall.
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The Angry Hand of God

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I do agree, if eskom was a private enterprise, we would be lookin at a different story!

What are the alternatives of kakkom using green power sources? Like wind, water generated stuff, have they mentioned anything about green power these fools, or have they grey bums not heard of it?
There's not enough wind to support wind turbines and those things cost a fortune. They could be used as boosters for the main grid (injecting VARs into the system during peak hours when voltage is low) but not as your main source of energy like Koeberg or Maduvha. This goes for hydro as well, there's just not enough rainfall.
You sure? What about our ma**ive shoreline, with all those waves and stuff the ocean is known to make?

Or the fact that we are one of the countries with the most sunshine? These options should be explored as a way to boost power into the grid. Look at Scandinavian countries, that get a lot less sunshine and have smaller coastlines etc. than us. Yet, they have laws which state that at least 40% of every new building's energy must be generated theough alternative means, i.e. not from the national power grid.

Eskom is just thinking with its a** and trying to keep up its huge fatcat salaries for bosses like Marga who now is suing them for the loss of his fatcat lifestyle. Motherf***er claims he would have earned that much over three years?

f***, I sjhould get an Eksdom job. Kelis, where do I apply?




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good arguement there kelis, they should declare ths company bankrupt and put the shit on the stock market, the gvmnt doesnt pay these fckrz to cry to the public 4 solutionz, we pay the fckerz to come with mutual decisions no matter the situation
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The KWEDZA HOD

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I still think there could be alternative means of power source apart from coal and burning shit.. Its not environmentally friendly too.
Kelis I have to disagree with you a lil, winds on our coasts show be enough to power some places, yes I do agree that storing that energy could be a huge problem, but they can be switchd on at peak hours!

I personally just think they must put down some good alternatives and put a bit more research to it, and prove to us the paying public that there are no better way, because I mean, now we are being told to pay 105% higher and look now, here we are questioning them. I'm sorry, I don't feel so informd on why and what we are paying for, would prefer results from other alternative methods shown, why they would fail and why this is the best solution.

SmH at Kelis!!!


Mrs Jones

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we can use it at peak hours but we'll be running at a loss as those wind turbines are much more expensive than they are worth.
@Pyro, you're right, we could use them as peaking stations but that won't be enough, we need something with a big output, another Koebeg if you will and the government doesn't wanna pay unfortunately, lol but they do want an income/gain.
All my life I had to fight. I loves Harpo, God knows I do. But I'll kill him dead 'fo I let him beat me.