South Africa needs take a radically different path if it is going to make its economy more inclusive. It must start from the premise that markets are intrinsically skewed to historic privilege.
A closer look into the latest financial numbers of South Africa’s state power utility, Eskom, suggest that it may be in a more vulnerable position than appreciated.
South Africa’s Parliamentary Budget Office had 10 months to prepare its findings about the cost of a nuclear programme. Its final report was little more than a summary of other institutions’ work.
It would be better to proactively restructure South Africa’s electricity sector to spur innovation and investment and reduce costs before another crisis hits and further derails the economy.
South Africa has been slow to adopt renewable energy sources. One option, which has proved successful elsewhere, would be to install solar photovoltaic panels on rooftops in low-income areas.
Shifting South Africa’s economy from energy intensive sectors to those with lower energy consumption will take more time, and even more funding. But the impact will be more permanent and sustainable.
South Africa has won global recognition for its renewable energy programme, but will it succeed in balancing the demands of financial and commercial soundness, and the transformation agenda?