KFC to close some branches due to load shedding

It seems that load shedding has been in the process of taking its biggest victims, with fast food giant KFC announcing the closure of some of its branches.

Affected suppliers

In a social media post on its official Facebook and Twitter pages, and on its website, KFC said that due to the load shedding affecting suppliers, “some of our restaurants will be temporarily closed.”

They said others may have “limited availability” on some favorite menus.

“We apologize for the inconvenience and will be back soon.”

Business as usual has long been a thing of the past as sudden changes in deliberate blackouts continue to wreak havoc on the country’s economy.

ALSO READ: Government apologizes for ‘devastating’ load shedding.

Small businesses affected a lot

Small businesses are particularly adversely affected, often forced to incur unforeseen costs for generators and gas. This has forced many entrepreneurs to close shop.

In July, Nova Economics calculated that stage 4 loadshedding was costing the economy about 950 million rupees per day, and that stage 6 was close to 1.5 billion rupees per day. Moneyweb reported

Speaking Moneyweb SAFM market update On Thursday night’s radio show, Alexforbes chief economist Isaah Mhlanga said the Stage 6 discharge alone could have already cost the economy R4.1 billion a day.

South Africa is currently in stage 2 and 3 of unloading.

ALSO READ: Download: How businesses are trying to adapt to an abnormal way of life

Eskom’s problems

Stages 5 and 6 load shedding has been implemented intermittently as Eskom continues to struggle with generating unit breakdowns, the Koeberg nuclear power plant being withdrawn from the national grid and running out of money to buy diesel

Last month, Eskom said it did not plan to order more diesel until April 1, 2023, having exceeded its R11 billion diesel budget by about R1 billion.

This means that for the next few months, it will struggle to afford to run its diesel-powered emergency generation fleet through open-cycle gas turbine power plants.

Eskom has incurred a net loss of R12.3 billion, it announced last week as it presented its annual results for the 2021/22 financial year.

The state-owned company’s debt currently stands at 396.3 billion rupees, 45 billion of which is made up of municipal debt.

Despite the reduction in financial losses, which were reduced by more than 50% compared to the previous year, the group’s CEO, AndrĂ© de Ruyter, lamented the lack of a normalized burden of the company’s debt .

NOW READ: R12.3 billion loss: ‘Eskom could be profitable if not for debt load’ – De Ruyter

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