Dominant position in the South African electricity market Central role in the development of the South African economy Increasingly transparent regulatory regime Strong growth in electricity demand Significant financial asset holdings Very tight generating capacity reserve margin in South Africa Substantial capital expenditure program in generation Weakening financial structure Potential restructuring of distribution and supply operations in the longer term The ratings on South Africa-based electricity utility ESKOM Holdings Ltd. reflect the company's critical role in the development of South Africa's economy through its successful electrification program, the government's intention to remain supportive of the company's credit quality, strong electricity demand growth, a more supportive regulatory regime following the introduction of multiyear price reviews, and significant financial assets. These strengths
