By Zweli Martin Dlamini
Africa-Press – Eswatini. The recently announced increase in electricity tariffs must be addressed in context, the objective behind the establishment of the Eswatini Electricity Company(EEC) and whether a State owned entity is expected to generate profits or serve the Nation by providing services.
But it seems in this country we have a new ‘owner’ of the Eswatini Electricity Company hiding behind Government, the ‘owner’ is allegedly demanding profits from a company that should be ensuring that, all emaSwati afford electricity as a basic need.
A majority of emaSwati are living in extreme poverty and therefore, any decision seeking to increase electricity without reviewing or increasing salaries for all civil servants and other workers in the private sector is nothing, but a systematic theft of public monies from the already ‘empty’ pockets of emaSwati.
Government,it has been confirmed,holds one hundred percent(100%) shareholding at the Electricity Company and Government is known as “His Majesty’s Government”.
This means His Majesty King Mswati,through his Government,is the sole shareholder at Eswatini Electricity Company.
With Government officials and Chief Executive Officers(CEOs) of the State owned companies scrambling to present millions to Mswati as “tetfulo”, it is now clear that, the decision to increase electricity has got nothing to do with the costs of buying electricity from South Africa but, this is a legitimized strategy by the rich, powerful and politically connected, to steal from the pockets of the poor and vulnerable.
Well, let me explain why I strongly believe the alleged thieves in the corridors of power are systematically seeking to steal from the pockets of the poor by increasing electricity;
The Eswatini Electricity company does not have any competition in this country but a monopoly in the provision of electric power.
Established in 1963 as the then Swaziland Electricity Board(SEB), the entity subsequently generated profits that were declared and transferred to Government as cash.
The billions declared over the years as profits, should now be transferred back to EEC to assist, if it’s true that, indeed the company is struggling amid escalating costs of electricity at ESKOM in South Africa.
The billions in profits were sourced from members of public who use electricity and therefore, if this Government belongs to the people, we assume that the profits are safely kept in a Government bank account and that money, must be released to subsidize electricity so that, emaSwati can buy affordable electricity units.
Recently, during the public hearings where Eswatini Energy Regulatory Authority(ESERA) Chief Executive Officer(CEO) Sikhumbuzo Tsabedze was fooling emaSwati, pretending to be collecting their views on whether electricity must be increased or not,
Ernest Mkhonta, the Managing Director of the Electricity Company was making presentations saying the costs of buying electricity from South Africa are high, hence the application for an increase in electricity tariffs.
Well, the Managing Director might be right when suggesting that, the costs are high but as emaSwati, we can afford to buy electricity from South Africa through EEC and, with our money declared as profits to Government.
Enerst Mkhonta was speaking a lot of nonsense because as the Managing Director of such a giant public company, he ought to have known that, there’s no way a company could complain of high import and other operational costs and then, declare profits.
A profit is a product of a selling price minus(-) costs and, if the electricity costs are higher than the selling price, then the Electricity Company would have long shutdown.
In conclusion, let me urge Government to release the profits previously declared by the Electricity Company, that money must be transferred back to EEC to sustain the company.
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