NUM Press Statement, 11 March 2026

The National Union of Mineworkers (NUM) notes the announcement made by President Cyril Ramaphosa during the 2026 State of the Nation Address regarding the continued restructuring and unbundling of Eskom, including the establishment of a fully independent transmission entity that will own and control transmission assets.

The NUM reiterates its firm opposition to the unbundling of Eskom in any form, as it threatens the long-term sustainability of the public power utility, undermines workers’ rights, and opens the door for the creeping privatization of South Africa’s strategic energy infrastructure.

The establishment of the Independent Transmission Operator which will own the NTCSA assets will undermine the financial viability of Eskom, in fact it might accelerate the death of Eskom. The death of Eskom will result in energy poverty.

The obsession by the government to implement the liberalization of the energy sector is unpatriotic.

It is informed by institutions like the World Bank and IMF. This decision will further undermine economic growth.

The NUM further noted the call by government to develop 14 000 km of transmission lines to cater for the Independent Power Producers. Eskom does not need these transmission lines. The NUM calls on government not to use taxpayers' money to benefits private companies.

The NUM calls on the NECOM task team to convene urgent, structured consultations with NUM as the union that is representing workers in Eskom Holdings and National Transmission Company of South Africa (NTCSA) employees within the first month of the three months declared by the President, to be consulted and/or discuss in good faith, amongst other things:

• Associated risk of transferring ownership of transmission assets to independent Transmission System Operator TSO, on Eskom Holdings and (NTCSA)
• Written guarantees preserving all employment terms, conditions, and benefits, including ESKOM PENSION AND PROVIDENT FUND (EPPF) membership, beyond the ones conferred in terms of s197 of the LRA
• Transparent and definite plan addressing financial risks, cross-default mitigation, and compensation arrangements.

The NUM’s Plan of Action

Regional marches to target Eskom and relevant government departments.

The recent NUM National Executive Committee meeting has officially resolved to launch a series of coordinated regional marches across all NUM eleven regions.

We call on our members, civil society, and the broader working class to join us in defending a national asset that belongs to the people of South Africa.

We have already started with our marches, the first one took place in Eastern Cape region, and would be followed by the Free State and KwaZulu-Natal regions this coming Saturday (14 March 2026). Dates for the remaining regions, dates will be communicated as programmes unfold.

These mass mobilizations will target Eskom offices and various government departments to voice the union’s rejection of the unbundling and looming privatization of the national power utility. We fundamentally reject the unbundling of Eskom in any form. Our long-standing position remains unchanged, regardless of the proposed structural or regulatory revisions.

This policy of separating Eskom into multiple entities (Generation, Transmission, and Distribution) is a neo-liberal project designed to dismantle a vital state asset and facilitate the wholesale privatisation of South Africa’s energy sector.

We view the current trajectory of Eskom’s restructuring not as a solution to energy stability, but as a direct threat to energy sovereignty, job security, and the affordability of electricity for the working class and the poor.

The core objectives of these marches include:

• Halting Unbundling: Opposing the fragmentation of Eskom into separate entities, which the union believes is a precursor to a full-scale sell-off.
• Rejecting Privatization: Demanding that Eskom remains a 100% state-owned and state-funded utility dedicated to public service rather than private profit.
• Protecting Jobs: Safeguarding the livelihoods of thousands of workers within the energy value chain who face uncertainty due to these structural changes.
• Ensuring Energy Justice: Advocating for an energy transition that does not leave workers and communities stranded while electricity prices become prohibitive.

Distressed Ferrocrome Producers

Furthermore, the NUM officially welcomes the landmark decision taken by the national power utility, Eskom, to implement a significant 29% reduction in electricity prices for two major distressed ferrochrome producers, Samancor Chrome and the Glencore-Merafe Resources joint venture.

This intervention, finalized on Friday, February 27, 2026, is a decisive victory for workers and a critical step in halting the catastrophic "bloodbath" of job losses that has been looming over the smelting sector. Under this new tariff regime, the affected firms will now pay 62 South African cents per kilowatt-hour (kWh). This is a substantial decrease from the interim tariff of 87.7 cents/kWh approved in January, and a massive relief compared to the unsustainable R1.36/kWh that smelters were forced to pay at the end of 2025.

The Crisis in the Smelting Sector

The NUM expresses its profound shock and disappointment following the decision by ferrochrome producer Samancor Chrome to issue a retrenchment notice in terms of Section 189 of the Labour Relations Act (LRA).

This move comes as a devastating blow to the workforce, particularly after the NUM fought tirelessly to negotiate for lower electricity tariffs to ensure the sustainability of the company’s operations.

Despite Eskom agreeing to lower tariffs to 62 cents per kilowatt-hour, Samancor Chrome has proceeded with a process that threatens the livelihoods of thousands of workers.

The proposed retrenchments are expected to impact approximately 2,400 employees across the company’s smelting operations and corporate offices, including:

• Dikwena Chrome
• Ferrometals
• Middelburg Ferrochrome
• TC Smelter
• Tubatse Alloy
• Tubatse Ferrochrome

The NUM views this decision as a betrayal of the good-faith negotiations aimed at protecting jobs within the smelting sector. The union remains committed to challenging these retrenchments and will explore all available avenues to save the jobs of our members.

For too long, South Africa’s smelting industry has been pushed to the brink of collapse. Since 2008, electricity costs have skyrocketed by more than 900%, a staggering increase that has forced dozens of plants to shut their doors and left thousands of families without a livelihood.

Currently, only 11 out of 66 furnaces in the country are operational. This tariff reduction is not just a policy adjustment; it is an essential lifeline that will allow mothballed furnaces to be reignited and ensure that South Africa remains a global leader in ferrochrome production.

The NUM has consistently argued that high energy costs are the primary driver of retrenchments in the mineral beneficiation sector. We welcome this 62-cent tariff as a progressive move that prioritises industrial stability and job security over short-term utility profits.

By reducing the cost of doing business, we are protecting the livelihoods of thousands of workers who were facing imminent Section 189 notices.

Looking Ahead

While the NUM applauds this specific relief for Samancor and Glencore-Merafe, we call on the government and the National Energy Regulator of South Africa (NERSA) to:

1. Extend Relief:Roll out this tariff framework to the broader smelting and energy-intensive sectors to revive the 55 furnaces currently stood idle.
2. Ensure Accountability:We expect the beneficiary companies to immediately withdraw all planned retrenchments and commit to long-term investment in their South African operations.
3. Industrialisation:Use this competitive pricing as a catalyst to ensure that South Africa's chrome ore is beneficiated locally rather than exported raw, thereby creating more downstream industrial jobs.

The NUM remains committed to defending the rights and jobs of its members and will continue to engage all stakeholders to ensure the long-term sustainability of the mining, energy, construction and metal sectors.