propose recommendations to the CEO of Eskom whether they should consider restructuring into a more competition market
Answers
Answer:
Looking at the present Escom structure, it is obvious that they are focusing more on producing electricity and then supplying it to both consumer end and to government authorities for affordable price.
Explanation:
Even if the prices are maintained within affordability, still the cost of producing and shipment of electricity (transfer) certainly in place like South Africa, may always be on a higher end.
This certainly does always squeeze the market to such an extent, that consistent and regular supply of power at the consumer end, especially in remote villages and small town areas, is widely affected.
Most of the time, there is shortage in power supply, due to increasing cost of production and transportation. This means that Escom should in fact focus more on producing electricity using more affordable solar power panels.
Besides, you need to keep in mind, that SA is a country that receives good amount of sun light in most of the regions. So harvesting electricity using solar panels will always ensure that Escom can distribute more consistent power supply to remote villages.
Apart from this the cost of power can also be regulated as the production will meet the increasing demand in the market.