Eskom municipal debt reaches R119 billion

• The Eskom municipal debt has reached R119 billion.
• The debt is a major concern for Eskom's financial sustainability, as highlighted by the Eskom Restructuring Task Team (ERTT) in their Phase I report.
• The establishment of an independent state-owned Transmission System Operator is a key step in Eskom's restructuring, but it must be carefully sequenced to avoid defaults and ensure lender requirements are met.