Eskom forecasts net loss of R26.2bn for 2020/2021 financial year
Eskom CEO Andre de Ruyter said that municipalities were some of the main offenders but said that Eskom had secured 64% of funding for the 2021 financial year by the end of last month.
JOHANNESBURG - Eskom said it forecasts a net loss of R26.2 billion for the financial year ending March 2021.
It said that the deterioration had been primarily due to the impact of COVID-19.
CEO Andre de Ruyter has been presenting the company’s results.
He said that Eskom had around R484 billion of debt as of March this year.
The CEO said that municipalities were some of the main offenders but said that Eskom had secured 64% of funding for the 2021 financial year by the end of last month.
"Municipal arrears still increased by an unsustainable 41% to R28 billion."
De Ruyter said that Eskom said that the financial results for 2021 were expected to be worse before long-term improvements materialised.
Eskom CFO Calib Cassim said that the utility would now be concentrating on trying to settle the overall R483 billion it had accumulated over the past decade.
He has been presenting the company's results.
Cassim said that talks were being held with government regarding the overall debt.
"But most importantly, we need to deal with the R483 billion of debt stock. We are working closely with government to address this issue and should be a priority for us during this financial year."
WATCH: Eskom presents its annual results