While South Africans buckle under double-digit electricity increases and rising inflation, Eskom has rewarded its staff with over R5.4 billion in performance incentives.
This is unacceptable.
A state-owned utility that only achieved an artificial profit of R23.9 billion thanks to a R64 billion taxpayer-funded debt relief package has no business siphoning off billions for bonuses.
The Minister of Electricity and Energy must immediately intervene to halt these exorbitant payouts and redirect funds toward lowering the cost of electricity for struggling citizens.
The 2025 Eskom Integrated Report reveals a stark disconnect between operational reality and executive reward.
Despite an Energy Availability Factor of just 60.60%, well below international standards, Eskom allocated:
- R4.2 billion for the Group Short-Term Incentive Scheme
- R1.2 billion in monthly production bonuses, a 200% increase from R0.4 billion in 2024
- That amounts to an average bonus of over R128,000 per employee, more than most South Africans earn in an entire year
This R5.4 billion is not “self-funded” excellence. It is a transfer from the national fiscus directly into the pockets of Eskom employees.
Meanwhile, Eskom’s headcount grew by 1,405 people year-on-year to 42,030, an inexplicable expansion for a utility of this size and financial fragility.
Eskom’s so-called return to profitability is a statistical mirage.
The R23.9 billion “profit” is dwarfed by R64 billion in government support. Municipal arrear debt has surged 27% in a single year to R94.6 billion. Without state intervention, Eskom remains technically insolvent.
The DA demands:
- The Minister must suspend the R4.2 billion STI payout immediately
- Eskom leadership must appear before the Portfolio Committee on Energy to account for a R0.8 billion jump in production bonuses against a backdrop of spiralling municipal debt
- Funds earmarked for bonuses must be redirected to the 8 million households currently eligible for but not receiving the free basic electricity allowance
Eskom cannot function as a private wealth fund for its employees while remaining a public burden on every South African taxpayer.