Cyril Ramaphosa’s Sona is the most significant speech since 1994


POSTED ON: February 11, 2020 IN , , by Admin

It is up to President Cyril Ramaphosa to reinvigorate and inspire confidence in South Africans from all walks of life in his SONA.

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Cosatu’s debt bailout proposal for Eskom amounts to nothing more than a free lunch


POSTED ON: February 10, 2020 IN , by Admin

SA can’t use public pensions as a convenient piggy bank to bail out our indebted SOEs and avoid fundamental reforms.

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Prescribed assets as bail out is a step in the wrong direction


POSTED ON: January 30, 2020 IN , by Admin

Prescribed assets, on the surface, may seem to be a quick-fix to Eskom’s problems but that would serve only to guarantee poor returns for pensioners. BLSA argues for some hard decisions to be taken now to ensure long-term sustainability of Eskom and other SOEs.

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The SAA meltdown: a hard lesson on the costs of indecision


POSTED ON: January 27, 2020 IN by Admin

SAA, through the actions of our political players, is now effectively a privatised, inefficient enterprise, a situation caused by a legacy of bad direction by its shareholder.

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It’s about generation …


POSTED ON: January 20, 2020 IN , by Admin

With a new leadership team in Eskom now in place, it’s important that the focus remains firmly on what the crux of our electricity challenges is: the inability to meet power demand. Regardless of the changes that may come to the almost 97-year old parastatal, this is its inescapable truth.

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Labour, the missing player in South Africa’s turnaround


POSTED ON: December 10, 2019 IN , , by Admin

As difficult a path that business rescue is, and as wary as we are of the unintended consequences, the shareholder’s stance in the SAA matter has put to paid one thing: companies are not too big to fail. Eskom, of course is a special case. This should however not incentivise unions to prolong their rigid approach; rather, they should try and be part of the solution.

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Decisiveness called for with our day of economic reckoning just around the corner


POSTED ON: December 2, 2019 IN , , by Admin

Call them friendly to the South African story, or more considerate of the structural fault-lines in our economy, for whatever their reasoning, they’ve resisted following the path of their peers. But come next February, it seems we may have run out of rope if promises of the new political dispensation at the helm of the governing party, ANC, aren’t translated into hard decisions.

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SAA shareholder needs to support board’s turnaround plan


POSTED ON: November 15, 2019 IN , by Admin

SAA and its stakeholders are striking this weekend and the airline will lose about R50m a day, but what we would ask of its shareholder representative that it now back its board and executive in managing its dispute. To intervene now would only strengthen the belief among unions that it is indeed “too big, too fail”, serving to harden positions and in effect hasten SAA’s demise.

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The slow pace of change within SOEs is enough to cause panic


POSTED ON: September 19, 2019 IN , by Admin

Over the past two years, the idea mooted has been one of prescribed assets as being a panacea for ailing state-owned enterprises and in the main it’s all about Eskom. While we appreciate the desperation of the Eskom question, we urge caution on something that looks like a knee-jerk response and on the surface at least, an easy fix for what’s seemingly exasperated policymakers.

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