If Eskom goes ahead with its unreasonable tariff increases as it plans, the South Africa’s economy will be destroyed.
The struggling economy of South-Africa is already on shaky legs and can be forced into a deeper hole with unreasonable tariff increases from the national power utility entity Eskom.
The gold industry will be destroyed if Eskom gets the green light for a 15% increase over the next three years, which means a 45% increase over the period.
The Mineral Council of South Africa has issued the warning after Eskom has asked it to adjust its tariffs by 15% each year for the next three years to maintain its vicious management style.
South Africa is one of the largest gold suppliers in the world, and of the existing 21 gold mines in the country, it will probably only remain one if the tariffs are approved.
The loss of jobs, which can rise to as much as 1600, along with the loss of rapid production, will cause the economy to tumble to a second Zimbabwe.
Read the original article in Afrikaans on Die Vryburger
This report does not necessarily reflects the opinion of SA-news.