Mandate, Vision, Mission & Strategy of Eskom South Africa

Mandate:

Eskom’s mandate is to provide electricity in an efficient and sustainable manner, including its generation, transmission, and distribution and sales. Eskom is a critical and strategic contributor to the South African government’s goal of security of electricity supply in the country as well as economic growth and prosperity.

Vision:

Sustainable power for a better future.

Mission:
To provide sustainable electricity solutions to grow the economy and improve the quality of life of the people in South Africa and the region.

Strategy:

To stabilise the business and to re-energise for longer term sustainability and growth.

Eight Dimensions of Sustainability

In order to give effect to Eskom’s strategy and deliver on its mandate, Eskom aims to ensure that the organisation is sustainable along eight dimensions. The Eight Dimensions of Sustainability aim to stabilise and sustain the organisation in the short, medium to long term and they are the foundation to Eskom’s operations.

1. Financial Sustainability:

The purpose of this dimension is to move Eskom to a state where its rate of return on assets is equal to the cost of capital. It is also to ensure that Eskom remains a going concern, is able to meet its short-term liquidity requirements

and service its long-term debt and financial commitments.

2. Operational Sustainability:

This dimension aims to deliver effective and efficient operations of all current assets of the value chain throughout their lifespan. This includes successful implementation of the Generation Sustainability strategy and improving current performance levels with Transmission, Distribution and Customer Services.

3. Sustainable Asset Creation:

This dimension seeks to ensure renewed focus on delivering all capital expansion projects on time, within budget and to the right quality, as well as to manage contractor risks and cost increases through lessons learnt in the current build programme.

4. Revenue and Customer Sustainability:

The purpose is to stimulate an optimised sales profile which supports SA’s economic growth through Eskom’s focus on achieving value-added market growth and aptly serviced, loyal customers.

Eskom needs to transition to being a business and market driven organisation in order to protect the revenue stream and achieve growth which secures an appropriate return on Eskom’s infrastructure and other investments.

5. Environmental and Climate Change Sustainability:

This dimension aims to address the linkages between environmental management and operational sustainability. It includes environmental impact assessments, air quality, land and biodiversity, water and waste/ash management.

Environmental compliance is critical to ensuring that Eskom maintains its licence to operate, keeps the lights on and meets its “zero harm” mandate.

6. Sustainable Human Capital:

Eskom will recruit, develop, and retain appropriately skilled, committed, engaged and accountable employees in line with Group Human Resources mandate to partner and empower Eskom Groups/Divisions.

Eskom is committed to the building of a sustainable skills base not only internally but also for the communities in which Eskom operates.

7. Transformation and Social Sustainability:

The purpose of this dimension is to support economic development and transformation in South Africa and to focus on core development objectives. This includes the activities of the Eskom Development Foundation (the Foundation) which continues to implement Eskom’s Corporate Social Investment mandate to promote transformation and social sustainability.

Eskom’s Integrated Socio-Economic Development (SED) Strategy provides for an integrated approach to defining, measuring and reporting on socioeconomic development activities across Eskom to ensure value is delivered.

8. Building a solid reputation:

The aim is to improve Eskom’s overarching current reputation and position the organisation as a key driver for economic growth.

Eskom is pursuing a number of specific actions to safeguard and improve its reputation. This is to protect existing customer bases (and ensure our sustainability) and to ensure stakeholder alignment.

Safety and Security will continue to be the foundation for all our operations and are key to Eskom’s performance.