Premium RW Johnson: Deluded politicians living in alternative realities – curse of the New SA
By RW Johnson
Readers of BizNews may be pardoned for having missed the latest issue of the SACP organ, Umsebenzi Online. It carries a swingeing attack – effectively on the Treasury and Finance Minister Godongwana, by the SACP boss, Solly Mapaila (above). Mapaila is angry that the Treasury has just accepted a $1 billion loan from the World Bank to support South Africa's energy sector. One may imagine Godongwana's relief at thus receiving a low interest loan for, effectively R19 billion, at a time when he is extremely hard pressed for cash.
Mapaila is angry for several reasons. First, the World Bank is keen to encourage the opening of electric power generation to private interests. One might have thought this was uncontroversial not only because Eskom was manifestly not coping on its own but because private generation of power has been encouraged by the state for some time now and it is gaily going ahead. Not only are solar panels sprouting from roof-tops all over the country but many private businesses are generating power and selling their surpluses on to Eskom.
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