Eskom Sees ‘Medium to High’ Risk of South Africa Power Blackouts

South Africa’s power grid is strained and the chance of blackouts on Tuesday is “medium to high,” Eskom Holdings SOC Ltd. said.

“Any unexpected changes on an already constrained power system could result in load shedding,” the Johannesburg-based company said on its Twitter account, referring to the local term for scheduled blackouts. Eskom, which provides about 95 percent of the country’s electricity, has cut supply for the past seven days.

The outages have caused traffic congestion and forced businesses to shut doors at peak times, curbing growth in Africa’s most-industrialized economy. Anglo American Platinum Ltd. and Harmony Gold Mining Co. warned on Monday they will suffer production losses if the blackouts persist.

Eskom is struggling to meet demand after the country failed to invest adequately in generation in the 20 years after the first democratic elections in 1994, even as the government expanded supply to an extra 7 million people.

Before it's here, it's on the Bloomberg Terminal.
LEARN MORE