Honourable Deputy Speaker, if Eskom was a private sector company it would have long ceased to exist. But state-owned companies in a developmental state such as ours do not primarily exist to make a profit. They exist to provide a service, while also contributing to the provision of jobs and the development of infrastructure. It is a delicate balance when such a company is mismanaged, or plundered, instead of contributing to its development; it drains the state of resources. In Eskom's case, it is driving South Africa to the brink of bankruptcy.
Energy stability is undeniably important. It keeps the country, its economy and its people going, and creates an environment conducive to investment. But government cannot simply default to bailouts. Money does not grow on trees. We do not have R59 billion lying around in a bottomless cash pit. On the contrary, money is desperately needed to cushion poverty, narrow inequality and create jobs. We should be very wary of using the National Revenue Fund to apply plasters to wounds requiring major surgery. Now more than ever, we need to stop talking about restructuring Eskom and actually do it. We will not do Eskom or South Africa any favours if we fail to deal decisively with the root causes of the utility's weaknesses.
Good policy should be considered within Eskom's restructuring plans which allows for cities to procure and generate their own power, which will create competition that will lead to innovation and more job creation. These are the types of good and sustainable responses that South Africans need to hear. Hon Deputy Speaker, it would be insanity to use the R59 billion to paper over the cracks and allow Eskom to carry on as
usual while mismanaging its way to another bailout without conditions.
The Good Party therefore welcomes the strict reporting requirements attached to the bailout. This includes regular liquidity reports; monthly management reports; reports on actions taken to recover electricity debts; reports on initiatives taken to reduce primary energy cost and fruitless and wasteful expenditure. Besides anything else, Eskom won't be able to use the money to pay out hefty year-end bonuses to undeserving staff. South Africans will study these reports, and hold government and Eskom to account. I thank you.