Posts tagged with 'state-owned entity'

 

SAA’s wings cut – bankrupt SOE can only pay salaries in January

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The bankrupt, state-owned SAA airline company will manage to pay its staff salaries for January, but that’s where it all ends.

With a bankrupt government failing to fulfill its pledge to pump another R2bn into the soe, it looks as if SAL will not remain standing.

The airfreight company faces three serious problems, and the solutions to this are vague and unclear, as different measures could not create a better situation.

The SAA needs at least R2bn to get its planes up, but with the many cancellations it has had to announce, its passengers are becoming less and less and profitability is becoming almost impossible.

The government’s inability to borrow R2 billion from any banker in the country has failed, which is now seen as a vote of no confidence in the financial approaches the regime is following.

It can inflict a final blow.

The large number of workers who should never have been hired is another reason why the state-run entity is faltering in the a
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#Rollingblackouts – To prevent further damages Eskom announce Phase 2 load shedding for Friday

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South Africans will have to prepare for more power outages this weekend after Eskom announces that Phase 2 load shedding will take effect from 09:00 to 23:00 Friday. According to their latest statement, the bankrupt state entity says their system is still vulnerable.

Although the power grid units are recovering as scheduled, they also lost additional operating units on Thursday.

“Load shedding is essential throughout the night and all day Friday to prevent further short circuits and capacity to pump water reserves for us.”

The goal is to reduce unplanned short circuits to 9,500 MW to enable them to minimize and stop load shedding next week.

“Regardless of the phase, we want to remind our customers that load shedding is no cause for panic as the system is successfully controlled.”

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#Rollingblackouts – Total darkness creeps closer after Eskom applied Phase 6 load shedding

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South Africa is getting closer to the risk of a total nationwide power shutdown after Eskom applied Phase 6 load on Monday evening at 6pm, shutting down a region’s power for about 9 hours a day. This is due to additional technical problems occurring at the Medupi power station at Lephalale in Limpopo.

Phase 6 load shedding was switched back to phase 4 at about 22:00 on Monday and it will continue until 23:00 on Tuesday, Eskom confirmed late last night.

However, Eskom Chief Operating Officer Jan Oberholzer later told Moneyweb that phase 6 could be scaled back by 23:00.

South African residents have struggled since the announcement of load shedding to get more information on phase 6 load shedding and load shedding schedules on the national power suppliers’ website. It has also been indicated that there is limited access to Eskom’s website. Furthermore, the Cape Town metro’s online load shedding links were also not operational.

Meanwhile, Eskom is trying to a
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SAA’S business rescue position – Bankrupt SOE will be restructured,no further bailouts to be handed out – Are their wings finally cut?

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Minister Pravin Gordhan’s stance at a board meeting of the bankrupt SA Airways has sent shock waves, the councilors as well as the shipping company’s worker are totally stunned by the so-called “business rescue position” that will be exercised without any delay.

The minister also confirmed in a statement that the board of the airlines has now adopted a resolution this cash strapped entity will be restructured, and that the government can no longer provide financial assistance.

Experts point out that this is the last effort to keep the state-owned entity standing(SOE), saying SAA’s life could drastically be shortened if they do not retrench about 1,000 redundant workers, and freezing salary adjustments for the next two years.

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Denel’s huge contract worth billions of Rand halted after dispute over inspection arises – How long will the cash-strapped SEO remain standing?

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South Africa has blocked Denel’s huge contract worth billions of Rand. The contracts, the largest of which are for weapons in the two countries, Saudi Arabia, and the other in the United Arab Emirates, have been blocked and could eventually be canceled by the buyers.

South African manufacturer Denel, which, like many other state entities, is currently struggling to keep its head above water, can hardly afford to lose the giant orders because a dispute over inspection has arisen.

Informed sources point out that this could also mean that thousands of jobs could be jeopardized by the struggling armaments manufacturer.

The inspection dispute apparently revolves around a clause in the export documents that requires foreign customers not to transfer weapons to third-party institutions or countries.

The provision further states that South Africa is allowed to inspect the facilities, and the provisions could lead to cancellation of orders amounting to billions of R
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