Finance Minister Tito Mboweni.
- Editor's note: Earlier we incorrectly reported that Eskom will receive a R69-billion bailout. The figure is R59-billion.
JOHANNESBURG - Eskom will get a bailout of R59-billion from government over the next two years, if Parliament approves it.
Finance Minister Tito Mboweni tabled a special appropriation bill in Parliament on Tuesday to help the ailing parastatal, but he said the company's business model had to change.
Eskom will receive R26-billion of the money this financial year and R33-billion in 2020-21.
A restructuring officer for Eskom could also be announced later on Tuesday.
Mboweni said discussions with Public Enterprises Minister Pravin Gordhan were at an advanced stage.
“Without major changes to Eskom's business model and financial assistance from government, the company will be unable to meet its obligations for the 2019/20 year. We must thus face the reality that a large vertically integrated energy company is an outdated model in a changing industry both domestically and internationally.”
Other bailouts on the cards include that of the SABC, SAA and Denel.