NUM condemns Ramokgopa's Eskom Privatisation Plans, Vows to Resist

In response to the Eyewitness News article published on April 1, 2025, titled “Privatising Eskom infrastructure will boost generation capacity: Ramokgopa,” the National Union of Mine Workers (NUM) vehemently rejects Minister of Electricity Kgosientsho Ramokgopa’s proposal to privatise portions of Eskom’s infrastructure.

The Minister’s assertion that this privatisation will inject over 3,000 megawatts into the grid is a dangerous and misguided justification for a policy that will ultimately undermine South Africa’s energy security and affordability. The NUM views any attempt to privatise Eskom infrastructure as a direct attack on the public interest and a betrayal of the South African people. We will resist this plan with all available means and challenge those who act as “lapdogs” of private capital.

We have observed a concerning shift in the Minister of Finance’s energy policy, moving away from a public-centered approach to electricity generation, distribution, and transmission towards a private sector-driven model. This neoliberal trajectory threatens to compromise energy security, limit access, and escalate costs for ordinary South Africans. It directly contradicts the state’s mandate to provide affordable electricity for all.

The proposed introduction of Independent Transmission Providers (ITPs) to construct 14,000 kilometers of transmission lines is a thinly veiled attempt to drain Eskom’s finances. This scheme mirrors the detrimental impact of Independent Power Producers (IPPs), which currently force Eskom to purchase exorbitantly priced electricity, regardless of demand.

Eskom’s own financial reports confirm the crippling effect of IPPs. As stated in their reports:

• “IPP expenditure increased to R47.8 billion (2023: R41.8 billion) due to more extensive use of IPP OCGTs and higher generation by renewable IPPs.”
• “IPPs account for 7,495MW of capacity in total and supplement the country’s generation capacity, mainly in the form of wind and solar photovoltaic (PV) power, with some non-renewable sources. The energy supplied by renewable IPPs is not dispatchable, which means that we cannot decide when and how much energy is generated.”
• “At times, this puts considerable strain on our own plant, as we often need to either cut back on our own generation when there is an oversupply by renewable IPPs, or make up the shortfall if IPPs don’t supply as expected due to unfavorable weather conditions.”
• “Overall % capacity by Eskom and IPPs = 54,283MW the IPPs only contribute about 10% of overall capacity. IPPs contributes 27% towards primary energy cost yet contributes about 10% towards overall energy capacity. IPPs cost 2,367 R/MWh vs 541 R/MWh implying that IPPs are about 430% expensive.”

These figures demonstrate the unsustainable financial burden imposed by IPPs, which prioritize profit over the national interest.

The NUM will not stand idly by as this neoliberal agenda undermines the well-being of South African citizens. We have a proud history of resisting the 1996 class project and will continue to fight this new wave of privatisation. We call upon all like-minded organizations, particularly those on the ideological left, to unite in opposition to this destructive policy. We have formally requested a meeting with the Minister to discuss the direction of the nation’s energy future.

For more detailed information, please contact:

Khangela Baloyi, NUM Energy Sector Coordinator, 072 450 6251

The National Union of Mineworkers
7 Rissik Street.
Cnr Frederick Johannesburg
Tel: 011 377 2111 Cell: 083 809 3257
Twitter: @Num_Media

Facebook: https://www.facebook.com/pages/NUM/10086002340216