Eskom has just more than three months to search and find a new, fit-for-purpose CEO as the revolving door at the power utility has been unjammed again following André de Ruyter’s resignation after three years at the helm.
The struggling power utility yesterday confirmed that De Ruyter had tendered his resignation as Eskom’s Group CEO, and that he would be staying on until the end of the first quarter of 2023 to facilitate a smooth transition.
Finding a new Eskom CEO is going to be a feat for the government as the state-owned power utility has had a turnover of 10 CEOs in as many years, with some capable executives shunning the position over the stress it comes with due to political interference.
De Ruyter’s second predecessor, Phakamani Radebe, quit in 2019 for health reasons, saying it was “no secret that this role comes with unimaginable demands”, which had impacted his health.
Eskom board chairperson Mpho Makwana said that a comprehensive executive search will be conducted to find a suitably qualified candidate, as there was no plan for him to become interim CEO.
“Mr de Ruyter has agreed to stay on for an additional period beyond the stipulated 30-days’ notice period to ensure continuity, while we urgently embark on a search for his successor,” Makwana said. “His last day at Eskom will be on March 31, 2023.”
De Ruyter’s resignation comes as calls for him to step down had increased in line with the heightened power cuts that reached Stage 6 load shedding earlier this month for the fourth time this year.
The criticism against De Ruyter was not only confined within the business sector and labour movement, but it extended even to the Cabinet as some ministers expressed unhappiness with Eskom under his leadership.
De Ruyter, however, said it had been an honour and privilege to serve Eskom and the country, and wished “all the hard working people of Eskom well”.
Meanwhile, Public Enterprises Minister Pravin Gordhan thanked De Ruyter, also saying all Eskom programmes will continue as business continuity was of primary importance for the country.
“André has carried an enormous burden on behalf of South Africa, I want to thank him for his sacrifice and resilience in a difficult job,” Gordhan said.
De Ruyter had steadfastly brushed aside his detractors and seemingly enjoyed the support of the newly appointed Eskom board of directors, despite failing dismally to end load shedding.
He had often blamed lack of maintenance of Eskom’s ageing coal-fired power fleet during the state capture years as a reason for the ongoing energy crisis, saying that Eskom was like flogging a dead horse.
Oxford Economics Africa senior economist Jee-A van der Linde said De Ruyter was not the problem at Eskom as the rot was far too deep, and went further beyond Eskom into the shareholder – the government.
Van der Linde said the Zondo Commission Report into State Capture had laid bare the rot in the government and the ANC, revealing the malfeasance at the power utility.
“The failure by Eskom to keep the lights on is perhaps the most tangible impact of state capture and only serves to fuel anger over the role played by crooked businesspeople, pliant government officials, and the ANC,” Van der Linde said.
“Eskom’s issues are manifold and the country’s electricity crisis has been years in the making. André de Ruyter’s departure implies a break in continuity and is possibly a major blow for Eskom. Load shedding will continue to plague the economy for years to come,” he said.
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