Question NW2733 to the Minister of Public Enterprises

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04 October 2023 - NW2733

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether, with regard to the reported irregularities in tender procurement at Tutuka Power Station that is still under investigation 19 months after the whistle-blower first lodged the complaint (details furnished), he and his department will perform their mandated duty of governance assurance and performance by intervening in the matter, escalating the investigation into irregularities at Tutuka, and keeping track of the progress of the complaint; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

ESKOM REPLY:

In January 2022, Eskom’s Forensic and Anti-Corruption Department received a complaint via email from an anonymous whistle-blower, which highlighted concerns regarding a procurement transaction for Electrostatic Precipitators (ESP) at Tutuka Power Station.

A detailed preliminary investigation was conducted, and the preliminary findings revealed that the matter warrants a full investigation. The matter is currently outsourced to an external service provider, and it is envisaged that the investigation will be completed by the end of November 2023. Eskom will share the findings and recommendations of the investigation with the DPE. If the investigation uncovers fruitless and wasteful expenditure, Eskom will initiate proceedings to recover losses. Eskom will also further engage with law enforcement agencies if any criminality is uncovered.

DPE REPLY

The department has a process in place to oversee that recommendations emanating from forensic reports are implemented. The department shall monitor that the commitment made by Eskom to finalise the investigation. Accordingly, the department shall apply itself to the report to ensure that all recommendations are fully implemented should the allegations be confirmed; and that relevant parties are held accountable in line with the laws of the country. Furthermore, the department shall through the Shareholder Compact, hold the board accountable in ensuring that whistle-blower reports Eskom receives are addressed speedily; that forensic investigations are initiated and completed within a reasonable timeline and that recommendations are fully implemented within reasonable timelines.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

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