An independent assessment of Eskom says it’s ‘dysfunctional and too complexd’. Image: SABC News
Eskom independent assessment report makes damning findings
The independent assessment report of Eskom says stage six load-shedding could be avoided by fixing the plants’ defects.
An independent assessment of Eskom says it’s ‘dysfunctional and too complexd’. Image: SABC News
An independent assessment of Eskom’s coal-fired power stations has uncovered damning findings showing that despite Eskom’s maintenance budget, its Energy Availability Factor (EAF) is much lower, mainly due to a “dysfunctional and too complex” management system.
The report found that stage six load-shedding could be avoided by fixing the plants’ defects and applying “prudent operation and maintenance practice.”
MANAGEMENT SYSTEM DYSFUNCTIONAL AND COMPLEX
The report concluded that most issues relating to the low EAF can be attributed to a single root cause: “The management system with its governance, structure, and processes is dysfunctional and too complex.”
It says there needs to be more organizational layers and opaque decision-making processes, which generate tremendous red tape, with lengthy procedures and a lack of accountability.
TOO MANY DECISION-MAKING LAYERS SAYS REPORT
“In many cases, the decision-making is delegated to committees, of which there are too many at all levels of the hierarchy. It said the coal fleet is managed centrally, and minimal authority is given to the plant management.
‘The plant management has to follow complex procedures and is therefore unable to manage day-to-day operations and maintenance challenges in a timely and effective manner.”
REPORT COMMISSIONED BY THE NATIONAL TREASURY
National Treasury commissioned the independent assessment of all Eskom coal-fired power stations to understand their operational challenges.
“It is hoped that the findings and recommendations will assist in strengthening Eskom’s corporate plan and continue to support the turnaround at Eskom,” said National Treasury.
FINDINGS TO BE INCORPORATED INTO ESKOM CORPORATE PLAN
The scope of assessment comprised a review of the operational situation of the coal fleet, an assessment of the power plant maintenance budgets, a skill-level assessment of power plant personnel, as well as a transmission grid assessment.
The assessment was conducted as part of conditions attached to the R254 billion debt relief arrangement for Eskom and some of the findings will be incorporated into Eskom’s 2024/25 Corporate Plan.
