It's no use going into ifs or buts, what's done is done and we have to deal with this issue now - at major expense.
Hats off to Mbweni who is committed to keeping the inflation rate down. Problem is that the consumer price index keeps on growing due to factors beyond our control and it seems that pushing up interest rates is the only thing the Reserve Bank knows. Which of course hurts the consumer even more.
Some R60 Billion of our tax money was allocated to Eskom to provide the infrastructure for current and future electricity demand. Plus Trevor added a 14% increase in electricity tariffs to help make the government stuff-up go away quicker.
This is a new construction next to Beyers Naude Drive in Johannesburg. It is not occupied and construction has not been completed.
Yet at night time most of the lights are on. So much for saving power from the First National Bank / Wesbank contractors. Any commitment from this major bank to this country?
Now Eskom wants a 52% increase in their rates.
Standby generators cost more to run due to increased fuel prices. Coal pricing has gone through the roof for which Eskom has to pay more. This is the effect that short supply on power has on mines - just look at the gold price.
Industry cannot perform. Volkswagen closed their factory and are looking at resuming only once it becomes viable to do so. Of course some industries are laying off people. We don't have power, we cannot produce. And with expenses going up manufacturers who export suffer even more.
You'd think with a devalued Rand they'll make money, but supply contracts suffer and the economy is getting a bad reputation for failing to deliver.
It's a mess. What gets me the most is that it was preventable. And what's to come will be even worse.
People will become poorer. Expenses will become too expensive to maintain. Accounts will fall in arrears, court judgements will increase, houses will be repossessed and markets will tumble. Shops will close down and jobs will be lost. Crime will increase from smuggling to muggings to burglaries to killings. Desperate people will turn to whatever brings bread to the table. Even the most positive outlook will diminish.
The soccer tournament in 2010 will go ahead amidst a hungry nation.
Sad, ain't it?
What can we do? How much more electricity can I save? I have my fridge running whilst not at home, that's it. At night the most essentials are using power for only as long as it's absolutely necessary. If solar panels weren't so expensive I would've had those already.
Yet, you travel through any metropolitan area and you see the amount of lights that are on. You travel to townships and you can't help but notice the amount of illegally connected power cables. Can someone in government please do something about this? Are they really interested?
The only solution I can see is to take away all the benefits our government officials are enjoying, half their salaries and bring them down to the average citizens' lifestyle and see how they cope.
Maybe after three months they'll re-think certain decisions and spend more time on better planning and considering all options.
Where are our leaders? Why so quiet up there?
