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Eskom board accepts the resignation of Maroga  Comments

Post to be filled 'in 90 days'

November 6, 2009

By Justin Brown


Eskom is to be rudderless until at least the end of January while the power utility looks for a replacement for chief executive Jacob Maroga, who resigned yesterday.

The utility's proposal for a 45 percent tariff increase per year over three years is to be decided by the National Energy Regulator of SA without a chief executive at Eskom's helm.

"The Eskom board is presently considering who will be acting on his behalf and will inform business in due course. They are also committed to fill his position within 90 days," Eskom said yesterday in a memo to its staff.

An industry source expressed concern at the management vacuum to be left by Maroga's departure.

An Eskom spokesperson confirmed that employees were told yesterday that Maroga, who became the chief executive in May 2007, had tendered his resignation, and that the board had accepted it.

However, Bloomberg quoted Floyd Shivambu, an ANC Youth League spokesman, as saying that Maroga denied he had quit in talks with the league.

The utility cancelled a meeting with media yesterday, apparently because chairman Bobby Godsell had to attend a meeting. Godsell has been Eskom' chairman since July last year.

"Maroga tendered his resignation... which we have accepted. We wish him well in his future endeavours," Sapa reported Godsell as telling Eskom staff at a meeting in Megawatt Park, Johannesburg.

Jaco Kleynhans, a Solidarity spokesman, said the union had received verbal notification of the resignation.

"The time has come for renewal in Eskom's management - and that is exactly why Maroga's resignation is welcomed. Maroga simply could not manage the electricity supplier efficiently, and even failed to appoint competent executive management to salvage the crisis situation at Eskom," he said.


The Black Management Forum said yesterday that it had taken a solid stance against the appaling trend of turning state-owned enterprises into slaughterhouses for black professionals who had been recruited to head them, including Maroga.

The DA welcomed his resignation, saying it needed "to be followed up by further actions to ensure that Eskom is pulled out of the quagmire of gross mismanagement which is costing South Africans millions of rands on a daily basis".

Earlier yesterday, Public Enterprises Minister Barbara Hogan denied reports that President Jacob Zuma intervened in the controversy between Maroga and Eskom's board of directors.

"It has come to my attention that there is an apparent breakdown in relations between the board of directors of Eskom and the chief executive," she said in a statement.

"As Eskom's shareholder, I am committed to actively engaging with all relevant parties to ensure and secure the best possible solution and outcome for Eskom and the public."

While Maroga was the chief executive, Eskom suffered a record loss of R9.7 billion in the year to March, and the country suffered a power crisis in January last year that caused an estimated R50bn in damage to the economy.

Last month Eskom proposed to the state energy regulator that local power prices more than triple by April 2012.
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Showing page 1 of 1 comment pages, 8 total comments
41 Weeks ago S\'boniso DUT Elec B Tech Student wrote :
I think tha Maroga did a good thing buy resigning but the gvt shouldn't be flatered when it comes to critical issues like loss of power in the country, the gvt shouldn't use their political differences and impose them on other sectors as it has happened with eskom planning.
42 Weeks ago Anonymous wrote :
At least Maroga was hands-on and knew the business. What did Godsell do for Eskom except grandstand?
43 Weeks ago RGP wrote :
Whilst I agree that Jakob Marogashould go,as he exacerbated the ESKOM malaise, I dont see any of the Goct Ministers accepting any blame for refusing to allow ESKOM to build new powerstations 8 years ago when they were warned we would run out of energy. Typical ostrich syndrome. If I ignore it, it doesnt exist or will not happen, an attitude displayed by the vast majority of Govt and quasi Govt corporations. Time to wake up and enter the REAL world, not the world of Black make believe!
43 Weeks ago thion wrote :
Yes, that just shows that appointing someone to a job just because he or she is black, just does not work. Skills are needed to make any business or other organisation work, whether it is State, Semi-State or private. Forget the racist quotas and you will see how things improve. Fire all incompetents that prevent us from getting proper and decent services we pay for.
43 Weeks ago Anonymous wrote :
good news
43 Weeks ago Adrian wrote :
It's about time that something was done about Eskom. Hopefully the ANC does not just put another useless party cadre in to replace him. Maybe with better management it won't be necessary to force the citizens of this country to fork out more of their hard earned cash to bail out yet another failed parastatal.
43 Weeks ago Anonymous wrote :
I feel sorry for Mr.Jacob Maroga ,i think he is a good leader ,every thing cannot put on his head ,what about the previous leaders before him ,everybody must take responsibility in ESKOM .
43 Weeks ago Anonymous wrote :
It appears that if the Board is out of touch with business, the best defence is to get rid of someone that knows the business. Jacob was not the 'bad boy'. Look at the decision maker or 'owner' of Eskom!!
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