Eskom is struggling to find a new chief executive before the end of March.
At Mail & Guardians understands that it is impossible to find a successor to Andre de Ruyter before the three-month notice period is over because sources close to the recruitment process claim that the candidate that has been hunted by the board has rejected the call to lead the utility.
In December, De Ruyter agreed to stay on beyond the stipulated 30-day notice period as the utility tries to find a replacement, company chairman Mpho Makwana said.
A source close to the recruitment process told the Mail & Guardians that the utility has not found a candidate with the right qualifications and experience and will ask De Ruyter to stay until June to give time to look for a replacement.
Eskom spokesperson Sikonathi Mantshantsha said preparations to advertise for the position of group chief executive were at an advanced stage.
Mantshantsha added that once this process has started, the normal Eskom recruitment process will be followed to identify suitable candidates.
But it added, “It is unlikely that the post will be filled before the end of March. The Eskom Board will provide direction to move forward if that happens.”
The source added that the utility is in talks with the chairman of the board to take over the position in the interim while he continues to look for a candidate, if De Ruyter refuses to extend his time at the utility.
Eskom’s search for a new leader comes at a time when it is looking for money to be paid by municipalities and clients through higher tariffs.
Last week, South Africa’s National Energy Regulator approved an 18.65% tariff increase due to take effect in April. This regulator’s action has led to legal threats against the utility, the ANC and the regulator for approving price increases as the utility struggles to provide adequate electricity.
The Democratic Alliance filed papers in the Pretoria High Court in an attempt to block the energy regulator from imposing a tariff increase.
During his closing speech at the Free State ANC provincial conference held in Bloemfontein on Sunday, President Cyril Ramaphosa said he had asked Eskom not to implement the 18.65% tariff increase.
“I have told Eskom that they should consider ending the increase in electricity prices, especially now when our people are struggling with high load levels. Many people are reporting that their businesses are failing due to load shedding,” he said.
During a media briefing last week, Ramaphosa said of De Ruyter’s successor: “It’s a tough job. I applaud whoever takes on the job.
Eskom problem
The utility is plagued by ailing power stations and more than R349 billion in debt and has struggled for years to meet the country’s electricity needs.
Last year saw the most power cuts from the national grid to date, with record blackouts causing public frustration, damaged businesses and calls for resignations at Eskom.
Another Eskom source added that some of the eligible candidates were not interested in the project because of the lack of security in the utility.
“After all the death threats that De Ruyter received and the lack of action from us here may be the reason why people do not apply. The job is risky and because some people do not like that De Ruyter wants to get rid of the crime and he wants to be silent,” said the source mentioned.
In December, De Ruyter claimed he had been poisoned with cyanide in his office after announcing his resignation.
On Monday, the union federation Cosatu asked the government to ask De Ruyter to extend the deadline to leave until the utility can appoint a replacement, spokesman Sizwe Pamla said.
“For Eskom to really stay afloat, we need people who have been there, who know [how the utility works],” he said.
Amidst speculation that Makwana will take over, Pamla urged the utility not to appoint the chairman as the acting executive as has been done in the past.
He added that this would undermine accountability and leave Eskom in limbo.
Energy expert Chris Yelland said suitable candidates can see the position of chief executive of Eskom as a career death trap
“There is no way we can expect a miraculous savior to solve all our problems. We must not have unreasonable expectations of a savior coming in the form of a new CEO,” he said.
It may take six months or longer to find a replacement and individuals with the appropriate qualifications will face a long list of conditions, he said.