Sunday World (South Africa)

Cable thieves bleeding SA dry

Transnet, Eskom lose billions over past five years

- Reports by Kabelo Khumalo and Bongani Mdakane

State-owned entities Eskom and Transnet have bled billions of rand in losses over the past five years due to rampant cable theft that has also hampered their operations.

Transnet said its Transnet Freight Rail infrastruc­ture is under attack from “highly organised cable theft syndicates”.

The entity said 395km of cable was stolen in 2019/2020, 700km in 2020/2021 and more than 1400km thus far in the financial year ending 2022.

“The net financial impact of security incidents to Transnet over the last financial year was R3.9-billion, which includes operationa­l disruption, security costs and remediatio­n,” Transnet Freight Rail spokespers­on Clement Maphaba said.

“The theft of cables has a direct link to Transnet Freight Rail’s performanc­e.

This means there will be more train cancellati­ons, trains will be moving more slower than usual and all of this results in volume and revenue loss.”

Embattled power producer, Eskom, is not faring any better. The entity said cable theft cost it about R324-million over the past five years.

Eskom spokespers­on Sikonathi Mantshants­ha said: “Theft of copper places the electricit­y grid under strain and leaves communitie­s without supply, could be for days. Supply and grid constraint­s lead to loadsheddi­ng and load reduction.”

Renewed focus on cable theft stems from its high cost to the economy.

This concern is echoed by the three most affected industries, that is electricit­y, telecommun­ications and rail.

Experts say the biggest driver of cable theft is the demand for copper, a commodity that has played a crucial role in global industrial­isation.

The South African Chamber of Commerce and Industry estimates that cable theft costs the SA economy between R5billion and R7-billion a year. Trade union federation Cosatu has called on the government to clamp down on scrap dealers involved in cable theft.

Openserve CEO Althon Beukes said copper line theft has an impact on connectivi­ty, and it costs the telecommun­ications sector millions every year.

“Data gathered by Openserve shows that more than 800 areas across SA have been identified as hotspot areas for cable theft and vandalism, where thousands of copper customers are heavily affected. Copper line theft and damage has cost Openserve more than R60-million over the past year,” he said.

 ?? / Gallo Images ?? All devastatio­n as cable theft spikes resulting in the loss of revenue for state-owned entities.
/ Gallo Images All devastatio­n as cable theft spikes resulting in the loss of revenue for state-owned entities.

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