Committed to spending $ 400 million to create about 1.75 million South African households with electricity annually by 2000, Eskom had an additional $ 300 million because the consumer forfeited for non-payment service. The company also faced rising operating costs as a result of consumer illegal tampering with their electrical connections. These costs had increased to such an extent that the annual costs were higher served as annual sales in many areas Eskom. This illegal Beha … Read more »

Committed to spending $ 400 million to create about 1.75 million South African households with electricity annually by 2000, Eskom had an additional $ 300 million because the consumer forfeited for non-payment service. The company also faced rising operating costs as a result of consumer illegal tampering with their electrical connections. These costs had increased to such an extent that the annual costs were higher served as annual sales in many areas Eskom. This illegal behavior was developed forced under a repressive regime, which many consumers to steal from the existing infrastructure, access to basic services.
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from
Patricia H Werhane,
Michael E. Gorman,
Brian Cunningham
Source: Darden School of Business
2 pages.
Release date: 07 April, 1999. Prod #: UV1876-PDF-ENG
Eskom and the South African Electrification Program C HBR case solution

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