Eskom Welcomes Dan Marokane as New CEO in a Push for Utility Turnaround

Eskom, South Africa’s state-owned power utility that has been grappling with numerous challenges, has officially appointed Dan Marokane as its new Chief Executive Officer (CEO). The announcement brings to a close a period of speculation and rigorous search efforts to identify a leader capable of steering the company through one of its most turbulent times.

Marokane, a seasoned executive with more than two decades of senior leadership experience, is no stranger to Eskom. Previously, he was one of four senior executives who took a principled stance against state capture, fraud, and corruption leading to their suspension. These issues have been at the heart of Eskom's woes, causing significant financial distress and operational disruption.

Armed with a qualification in chemical engineering, bolstered by an MBA, Marokane has proven his mettle in navigating complex turnarounds. His ability to manage in high-pressure turnarounds was recently witnessed at Tongaat-Hulett, a company he led following the resignation of its CEO amid financial distress.

Eskom Board Chairman, Mteto Nyati, praised the intensive recruitment process that led to Marokane's appointment, extolling his vast experience in both the private and public sectors and his thorough understanding of the Eskom environment. Nyati underscored Marokane’s strong leadership qualities, remarking on his ability to lead from the front and to immediately address the pressing issues facing Eskom and South Africa.

The board conducted a comprehensive global search, ultimately seeking a candidate with a blend of leadership skills, business acumen, and a proven record within the energy sector. Marokane’s appointment was seen as a key move to establish a high-performance culture and to rebuild a forward-looking Eskom.

In addition to Eskom's Board, Public Enterprises Minister Pravin Gordhan played a crucial role in the appointment process. The Shareholder's participation was highlighted as integral, ensuring compliance with Eskom's Memorandum of Incorporation. Following initial presentations, the Eskom Board was tasked with resubmission, which led to the final selection of three eligible candidates, signifying the thoroughness of the process.

Earlier discussions in the public domain included speculation around other candidates and reported political considerations surrounding the appointment. City Press had intimated that Marokane's independence might have been a point of contention with Minister Gordhan. Nevertheless, Gordhan denounced such insinuations of interference, dismissing them as fallacious.

Responding to the honour of his appointment, Marokane recognized the magnitude of the challenge that lies ahead. Acknowledging that the role has been dubbed “the most difficult job in South Africa,” he expressed eagerness to work with the Eskom leadership team, Board, Shareholder and stakeholders. His aim is to fast-track the implementation of the Generation Recovery Plan and focus on critical priorities, such as transmission capacity enhancement and setting Eskom on a path to sustainability.

With a commanding legacy of crisis management, resilience, and an intimate understanding of Eskom’s internal environment, Dan Marokane steps into a role that is pivotal not only to the future of the utility but also to the economic stability of South Africa.