Questions and Replies

Reply:

1. (a) The irregular expenditure was reported to the Accounting Officer and Labour Relations for investigation and further handling. The irregular expenditure is recorded in the irregular expenditure register pending the investigation, in line with National Treasury Guidelines.

b) The investigation is still pending the results of the investigation will determine the action to be taken by the Department.

2. (a) The Accounting Officer assisted by management at SCM has strengthened internal controls and there is strict enforcement of SCM prescripts.

(b) The investigation is still pending, the results of the investigation will determine the official/s to be held liable or not.

Reply:

(a) The Department nor its (b) State Owned Entities did not spend any amount on promotion or celebration of the Year of O R Tambo on the (i) Africa News Network 7 channel, (ii) SA Broadcasting Corporation (aa) television channels and (bb) radio stations, (iii) national commercial radio stations and (iv) community (aa) television and (bb) radio stations since 1 January 2017.

Reply:

a) The matter was asked during the meeting of the Portfolio committee on Energy on the 22 November 2017.

b) The Minister reaffirms the same answer provided to the committee.

Reply:

No

Reply:

a) Yes, the Department had a contract with Mahlako-A-Phahla Investment.

(i) Services rendered were for transactional advisory to review the state of readiness for the Nuclear New Build Programme.

(ii) The initial contract was for three (3) months, i.e. 27 May to 26 August 2016 with further extension of four (4) months starting from 1 September to December 2016.

(iii) The department paid R20 174 423.82 for the initial contract and a further R67, 745, 337.77 for the extension of the contract.

(iv) (aa) The contract was approved by the Accounting Officer of the Department of Energy

(bb) Payment was approved by the responsible Programme Manager for Nuclear Energy.

Entity	(b)	(i) What services did the specified company provide	(ii) What was the duration of the contract,	(iii) What amount did the entity pay the specified company for the contract	(iv) Who approved the (aa) contract	(iv) Who approved (bb) payment?
NERSA	No	N/A	N/A	N/A	N/A	N/A
SANEDI	No	N/A	N/A	N/A	N/A	N/A
NRWDI	No	N/A	N/A	N/A	N/A	N/A
NNR	No	N/A	N/A	N/A	N/A	N/A
NECSA	Yes	Feasibility Study	27 May 2017 -30 March 2018	3,554,442.86	Senior Executive Manager: Pelindaba Enterprises	Senior Executive Manager: Pelindaba Enterprises
		Uxc Reports	27 May 2017 -30 March 2018	327,750.00
		Management Fees	27 May 2017 -30 March 2018	None
		Nuclear Fuel Feasibility Study	27 May 2017 -30 March 2018	12,398,629.74
		Project Management	27 May 2017 -30 March 2018	None
		Nuclear Fuel Feasibility Study	27 May 2017 -30 March 2018	387,366.41
CEF	Yes	To develop an acquisition strategy for renewable energy projects	2 months	None	The contract has not yet been signed but the procurement manager has issued a letter of intent	No payment has been done yet as the service provider has not started working

Reply:

a) Yes, I accompanied H.E President Jacob Zuma on a working visit to the Russian Federation.

b) No

Reply:

a) The total cost of the involvement of the SA Nuclear Energy Corporation ‘s mobile hot cell in the removal of high activity sealed radioactive sources from 87 teletherapy units in the Federative Republic of Brazil was R 35 663 397.17.

b) No funds were budgeted by NECSA for the Mobile Hot Cell operation as the operation was in Brazil and funded by the United States Department of Energy and the Government of Brazil.

Reply:

1. (a) No procurement and/or services were made to Travel with Flair (Pty) Ltd by the Department of Energy

(i) Not applicable

(ii) No payments were made to Travel with Flair (Pty) Ltd.

(b) (i) Other than the National Nuclear Regulator none of the other entities reporting to the Minister of Energy have procured any services from Travel With Flair

(ii) R 2, 027, 867.96

2. (a) Travel with Flair (Pty) Ltd did not provide international travel for the Department of Energy.

(i) Not applicable

(ii) Not applicable

(iii) Not applicable

(b) (i) The revelation of such information would allow others to develop a profile of the operations of the National Nuclear Regulator which could impact on both safety and security.

Reply:

In carrying out its mandate, the Department develops legislation, undertakes programs and projects, and in that process interacts with a plethora of stakeholders and industry players of varying nature. This for example may take a form of bilateral meetings, visits, conferences, etc. and therefore it is practically impossible to mention with specific engagements that the department, often represented by different officials at different levels, has undertaken.

Reply:

a) At the conclusion of the Audit there was a dispute between the Department and the Auditor- General on the amount of irregular expenditure. The Minister of Energy has since met with the Auditor-General and the matter in dispute has been resolved.

b) (i) The area of concern that had been identified by the Auditor- General was understatement of irregular expenditure.

(ii) Steps to be taken to address the areas of concern include strengthening of internal controls.

(iii) As indicated in (ii) above mechanisms will be instituted to avoid the concerns identified again in 2017/18 financial statements as part of the remedial action plan. The Minister and the audit committee will oversee the administration on quarterly basis.

Reply:

1. a) NERSA did not reverse any decision related to Eskom‘s coal contracts and costs. The decision taken by NERSA was that Eskom‘s information relating to coal contracts and cost not be published as it contained commercially sensitive information. Eskom has submitted all requested information to NERSA.

b) NERSA did not reverse any decision. (Limiting information only to the personnel of the Regulator is standard practice with all commercially sensitive information).

2. a) No decision was reversed by NERSA.

b) No decision was reversed by NERSA

Reply:

a) A legal firm had been appointed to conduct investigations. The investigations took longer than expected. The report presented had gaps due to the method used by the investigators. The Minister directed that the report must be able to meet the principles of natural justice i.e. Ald. at partem. The financial aspect conducted by KPMG had to be subjected to a reliance audit and this further caused more delays.

b) When the Minister was supposed to receive final report the service provider on the legal part declared a conflict of interest. The Minister has instructed CEF and SFF to expedite the investigations without further delays.

Reply:

1. (a) The purpose of the R2.1 million is a once off gratuity paid in accordance with Proclamation by the President of the Republic of South Africa No. 50, 2008. It is in line with paragraph 3.3 once off gratuity for Members of Executive or Deputy Ministers who have served more than 5 years and whose term of office has ended.

(b) The former Minister had served more than 5 years and her term of office had ended from 31st March 2017.

(c) The details of the gratuity are as follows:

i) 4 months pensionable salary for every 5 years term amounting to R 1,847,408.96

ii) Pro-rata part of the 5 year period (last term) 1 May 2014 – 31 March 2017 amounting to R 269,413.81

(2) (a) There was a shift of R17 million from the National Solar Water Heater Project to personnel remuneration, travel, gratuity, events and relocation costs because of the savings under SWHP that could be utilised to defray excess expenditure in those items. The shift was done in line with Section 43(1) of the Public Finance Management Act, Act 1 of 1999.

(2) (b) The shift of R17 million has had a minimal impact on the project. The budget was largely allocated for installation of solar water heaters for the financial year 2017/18 which had not commenced by end of September 2017, as the department is currently busy with compliance requirements of governance. For the remaining months of the current financial year the achievable number of installations will not be impacted upon by the shift of funds.

(2) (c) The current targets for this project for the current year, is to increase the number of procured baseline systems in line with the budget allocation and train youth on the installation of solar water heaters at targeted municipalities. In terms of the achievement, the Department increased the number of procured baseline systems from 42 196 in 2016/17 to 87 206 in 2017/18.

Reply:

1. (a) Chief Executive Officers reporting to the Minister are not employed on permanent basis.

(b) CFO’s of entities are permanent, except NECSA and NRWDI.

(2)(a) (b)(i)(ii)

NECSA

CEO - Mr. Phumzile Tshelane - (1 January 2017- 31 December 2019)

CFO - Ms. Hlengiwe Khumalo - (1 September 2017-31 August 2020)

NRWDI

CEO – Dr. Wolsey Barnard - (1 August 2016- 31 August 2021)

CFO – Mr Justin Daniel - (1 October 2016 -30 September 2021)

NNR

CEO – Mr. Bizmark Tyobeka – (1 October 2016- 31 September 2019)

NERSA

CEO – Mr. Christopher Forlee - (1 January 2017 -31 December 2021)

CEF (SOC) LTD

CEO – Vacant -Mr Mojalefa Moagi is acting with effect from December 2015 - A process to fill this vacancy is nearing completion.

SANEDI

CEO -Vacant – Dr. Thembakazi Mali is acting with effect from 1 July 2017 – A process to fill this vacancy has commenced.

Reply:

1. a) R4,391,910 (rounded to the nearest 10),

b) Detailed breakdown of the bonus that was paid out to each employee in each salary level in the 2016-17 financial year

Salary Level	Number of Beneficiaries	Amount paid
3	1	4803.02
5	60	452387.43
6	15	139318.7
7	64	737812.67
8	24	332472.42
9	28	449342.31
10	36	747976.27
11	28	726405.71
12	22	662457.3
13	2	76101.32
15	1	62830.5
Grand Total	281	4391907.65

2. a) The estimated amount will be in accordance with the stipulated guidelines of 1.5% of the total remunerative.

b) The department is currently conducting the moderation process incorporating amongst others the outcome of the audit into performance information.        The final figures are envisaged to be finalised by 31 December 2017.

Reply:

1.The details are outlined below.

a) The process followed to appoint Dr Ingrid Tufvesson to the SANEDI Board is the process outlined in section 8(2) of the Nuclear Energy Act.

b) The National Energy Act does not specify any particular criteria that must be met to fill the Chairpersonship, save for the requirement contained in section 8(9), which states that a Board member must have a relevant qualifications and experience or special knowledge.

c) The National Energy Act does not require the SANEDI Board Chairperson to hold specialist energy-related qualifications. However, the Department is confident that Dr Tufvesson possesses the necessary skill and experience to provide effective strategic leadership to the SANEDI Board and the organisation.

2. The position was not advertised, as it is not a specific requirement of the National Energy Act that this must take place.

3. Yes, the consultation with the Minister of Science and Technology was not specific to the Chairperson but rather to the Board as a whole as required by the National Energy Act.

Reply:

1. Yes, the Department has taken all comments received, including that of CSIR, during the public consultation process of December 2016 to March 2017 into consideration.

Reply:

1. In the past three financial years fifty two (52) employees were given permission to perform remunerative work outside public service (2014/15: 21 employees, 2015/16 12 employees and 2016/17: 19 employees)

2. Only one (1) official had a business transaction with an organ of state (Agriculture Research Council) and (a) the purpose of that business transaction was the supply of tissue paper (b) this transaction took place in the 2015/16 and (c) the value of the business transaction was R585.00.

Reply:

1. Neither the Minister nor the Deputy Minister made use of a chartered flight for the period specified in the question.

 

Reply:

In the main the implementation of the National Solar Water Heater (SWH) Programme has been delayed by the need to and meetings, and agree with critical stakeholders such as the municipalities.

1) (a) Following the consultation referred to in (1) above, collaboration with participating municipalities has now been formalised through the signing of Municipal Framework Agreements.

(b) The Department convened consultative meetings with the following municipalities:

• Ekurhuleni Metropolitan Municipality (on 03/03/2017);
• Ventersdorp/Tlokwe Local Municipality (on 30/03/2017);
• Bitou Local Municipality (on 09/05/2017);
• uMgungundlovu District Municipality (on 13/11/2017);and
• eThekwini Metropolitan Municipality (on 14/11/2017).

(c) The meetings resolved that:

• Municipalities will:

• Select and propose to the Department the areas in which SWHs will be installed;
• Identify government owned warehouses that are in close proximity to the installation areas;
• Submit databases of job-seekers that reside within, or are closer to, the targeted beneficiary communities; and
• Fast-track the outstanding Municipal Framework Agreements (where applicable).
• The Department will send to the municipalities the technical standards, specification and requirements which will apply to the SWH(s) that are compatible with the climatic conditions of the Designated Installation Areas(s).

3) The municipalities are willing to participate in the Programme particularly because the targeted households are in the main low income segments who also benefit from free basic energy programmes.

4) Most municipalities that the Department has engaged to date have demonstrated capacity to support the programme in accordance with the municipal obligations contained in the Municipal Framework Agreement. For example, some municipalities have provided the Department with the list of installation areas as well as the database of job-seekers, The Department continues to consult and support municipalities that are lagging behind in terms of fulfilling their obligations.

Reply:

Through the Integrated National Electrification Programme (INEP), the Department has embarked on a national programme that saw the electrification of over seven (7) million rural households, since 1994 to date .This is in line with programme of government to ensure universal access by 2015 to modern forms of energy. The provincial numbers are:

Province	Number of Households
Eastern Cape	1 258 237
Free State	411 402
Gauteng	833 818
Kwa-Zulu Natal	1 301 454
Limpopo	1 279 824
Mpumalanga	709 048
North West	809 357
Northern Cape	157 849
Western Cape	467 753
Total	7 228 742

In terms of 2016 community survey, access to electrify per Province is listed as follows:

• Limpopo Province 93%,
• KwaZulu Natal 89%,
• Gauteng 90%,
• Free State 94%
• North West 89%
• Western Cape 97%
• Mpumalanga 90%, and
• Eastern Cape85%

Reply:

The Department received the question, reviewed its contents against its mandate and has determined that the most appropriate respondent should be Eskom through the Department of Public Enterprises.

Reply:

The Department received the question, reviewed its contents against its mandate and has determined that the most appropriate respondent should be Eskom through the Department of Public Enterprises.

Reply:

(a) (i)Assets	As at 30 June 2017	2016/17 Financial Year
Current Assets		406 139		74 191
Non - Current Assets		2 235		2 238
Total Assets		408 374		76 429

(aa) Not applicable

(aaa) Not applicable

(bbb) Not applicable

(bb) Not applicable

National Nuclear Regulator

(a)& (b) Assets as at 31 March 2017

Current assets	105,208,582
Non-current assets	117,945,306
Total assets	223,153,888

1. N/A
2. National Nuclear Regulator

(aa) None

(aaa) None

(bbb) None

(bb) None

(aaa) None

(bbb) None

National Energy Regulator of South Africa

(a)& (b) Assets as at 31 March 2017

Current assets	223,219,605
Non-current assets	61,203,234
Total assets	284,422,839

1. N/A
2. National Energy Regulator of South Africa

(aa) None

(aaa) None

(bbb) None

(bb) None

(aaa) None

(bbb) None

National Radioactive Waste Disposal Institute

(a)& (b) Assets as at 31 March 2017

Current assets	11,155,377
Non-current assets	197,436
Total assets	11,507,813

1. N/A
2. National Radioactive Waste Disposal Institute

(aa) None

(aaa) None

(bbb) None

(bb) None

(aaa) None

(bbb) None

South African National Energy Development Institute

(a)& (b) Assets as at 31 March 2017

Current assets	300,509
Non-current assets	2,028
Total assets	302,537

1. N/A

(ii) South African National Energy Development Institute

(aa) None

(aaa) None

(bbb) None

(bb) None

(aaa) None

(bbb) None

South African Nuclear Energy Corporation

(a)& (b) Assets as at 31 March 2017

Current assets	1,538,388
Non-current assets	4,559,727
Total assets	6,098,115

1. South African Nuclear Energy Corporation SOC Limited (NECSA)

Investments - As per the Annual Financial Statements for 2016/17 as at 31 March 2017

Description	Direct/ Indirect (aaa) / (bbb)	Current/ Non-Current	Value per Term:
			0 – 3 Month	3 - 6 Months	6 – 12 Months	> 12 Months
	R ’000
Listed Investments (aa)
NONE
TOTAL						Nil
Unlisted Investments (bb)
ARECSA Human Capital SOC Ltd	Direct	Non-Current				1
NTP Radioisotopes SOC Ltd	Direct	Non-Current				220,700
Pelchem SOC Ltd	Direct	Non-Current				42,001
TOTAL						262,702
Listed Investments (aa)
NONE
TOTAL						Nil
Unlisted Investments (bb)
NTP Logistics SOC Ltd	Indirect	Non-Current				51
NTP Radioisotopes Europe SA	Indirect	Non-Current				0
AEC Amersham SOC Ltd	Indirect	Non-Current				27,226
Gammatec NDT Supplies SOC Ltd	Indirect	Non-Current				16,764
Gammatec Aseana NDT Supplies SDN BHD	Indirect	Non-Current				1,023
Gammatec Middle East General Trading Liability Co	Indirect	Non-Current				0
Limited Electronics South Africa SOC Ltd	Indirect	Non-Current				26
Gamwave (Pty) Ltd	Indirect	Non-Current				0
Oserix	Indirect	Non-Current				145
TOTAL						42,235
Other Financial Assets
Other Financial Assets reflected on the Annual Financial Statements include investments in Sanlam, Old Mutual and Unit Trusts to the value of R222,772, that are offset by corresponding Liabilities such as Fuel and Waste Decontamination Cost.
TOTAL						Nil

1. CEF (SOC) Ltd

(a)& (b) Assets as at 31 March 2017

	Billion
Current Assets	19,791,916
Non-current Assets	13,280,164
Total Assets	33,160,719

 

*The difference is R88, 639,000.00 which can be attributed to the value of PASA which has been Hived-Off to the Department of Mineral Resources.

(i) N/A

(ii) CEF Group-

(aa) Listed Assets

CEF does not own listed assets. All its assets are in companies where CEF has voting rights

and the assets are not valued at market value. Majority of CEF assets are accounted for at cost

and the financial assets such as debtors are held at amortised cost.

(aaa) None

(bbb) None

(bb) Unlisted Investments

(aaa) The total value of all the assets held by the CEF Group at 31 March 2017 was R33, 160,719,000 billion.

(bbb) The cash for the CEF group amounts to R17billion and the money is invested in the short-

term accounts. EQF has R1.2billion and its cash is also invested in the short-term accounts. All investments ranges between 3 to 6 months.

Reply:

1. (a) The Minister has addressed the nation on the matter of outstanding Power Purchase agreements for bid window 3,5 and 4 on Friday 01 September 2017 during the media briefing.

(b) It was committed that the PPA for bid window 3,5 and 4 will be signed by the end of October 2017.

(2) Yes, as the interdict will prevent government from being able to implement a mix of energy generation options that is envisaged to support our mandate on reliable, affordable energy security for the Country.

Reply:

1. The process for consultation on IRP and IEP has been concluded with the public. The current process is to finalise the policy document and gazetting the final document for implementation. Consultation on the policy is concluded and final documents will be published.

2. Target for promulgation is end of February 2018.

3. Minister will not interfere with the policy development process outside the prescribed laws, as this will be illegal.

4. The final IRP and IEP will be communicated and promulgated once concluded, currently we don’t have a final position to communicate.

Reply:

The investigation on the sale of strategic fuel fund is still not concluded and therefore all documents that relates to the matter will not be released until all process are concluded. Once all processes have been concluded all reports and all any other documents will be referred to Parliament’s Portfolio Committee for consideration. We are expecting that all the work will be concluded by latest November 2017.

Reply:

(a)The Annual Financial Statements of SFF Association do not only reflect R2.1 Billion for the sale of strategic fuel stocks, but they reflect the total proceeds of $280 million. The funds were accounted as follows:

Income Statement:

• Credit: Revenue at R3.9 Billion
• Debit: Cost of Sales at R1.8 Billion
• Debit: Transfer to EQF of R2.1 billion

Balance Sheet

Included in the Cash and cash equivalents and Other Financial Assets of R6.4 Billion, is R3.9 Billion ($280 million) pertaining to the sale of strategic fuel stocks. The rand value will be determined when the dollars are converted into rands. Currently the rand amount will fluctuates depending on the exchange rate that is used on the day that financial statements are prepared. Further to reflecting the cash in the balance sheet, SFF has also raised a liability to Equalisation fund. The liability is triggered by section 3A (c) of the Central Energy Fund Act.

(b) As clarified above the money is accounted for and it is part of the $280 million that is banked in a Customer Foreign Account (CFC) with one of South Africa’s major banks to preserve its dollar denomination.

(c) If and when the proceeds are paid into the Equalisation Fund, the CEF Act requires that Minister of Energy with the concurrence of the Minister of Finance to determine those amounts that are not required to execute the CEF Group mandate as defined in the CEF Act should be transferred into the National Revenue Fund.

 

Reply:

(a) The Interim Board is well-capacitated with the relevant skills to provide PetroSA with strategic direction, as per the short summary provided below. Collectively, the PetroSA Board members have experience in (amongst other things) the Petroleum industry, Oil and Gas Regulatory industry, Energy Policy formulation, Energy Strategy formulation, Financial Modelling, Energy Modelling, Investment Profiling, Industrial Gas applications and Macro-Economics.

(b)The Interim PetroSA Board members are as follows:-

Name	Qualifications	Experience
Mr Nhlanhla Gumede (Chairperson	Engineering, Management Development and Business Administration	Skills in Strategy and Policy formulation within the Energy sector, Minerals processing, Tariff design, legal drafting and Industrial Gas Applications.
Mr Quentin Eister	Commerce, Finance, Management Development and Marketing.	Skills in Public Policy, Stakeholder Management, Commercial Equity and Corporate image.
Ms Puleng Kwele	Business Administration, Marketing, Financial Management and Management Development	Strategy and turn around, Human Capital management and Financial management
Mr Simon Masemola	Commerce, Accounting and Business Management	Business support and financial management, project operational management, process design, implementation and management, Business operations strategy
Adv. Lindiwe Mtunzi	Law, Energy Law, International Petroleum Economics and Fiscal systems, Policy.	Skills in Compliance advisory services, Regulatory assistance, Oil and Gas Exploration Regulation
Dr Boy Ngubo	Commerce and Accounting	Skills in Commerce, Finance, Auditing and Accounting
Mr Mthozami Xiphu	Political Science and Public Affairs	Skills in Oil and Gas Exploration Regulation

Reply:

(1) (a) Yes, (b) In terms of SFF Association’s memorandum of incorporation, SFF’s main business is to carry on the business of facilitating the exploitation of fuels and commodities which are or may become of strategic importance to the Republic of South Africa, not for gain but solely in the communal interests of the general public, and to perform any other acts towards this end, (c) No, (d) Costs incurred by SFF were limited to travelling costs of SFF employees who were participating Equatorial Guinea projects.

(2) (a) There is a letter from the then Minister of Energy addressed to EG’s Minister of Energy acknowledging SFF’s participation in negotiations relating to the project, (b) this is a matter regulated by SFF’s Memorandum of Incorporation, (c) The parameters of the project are yet to be defined including SFF’s obligations on the project, (d) the capital expenditure budget has not been defined pending the conclusion of negotiations between the parties that will spell out SFF’s obligations.

Reply:

(1)(a) The names of the municipalities are as follows:

• Ventersdorp/ Tlokwe Local Municipality;
• Sol Plaatje Local Municipality; and

(b) The Department underspent in Ventersdorp/ Tlokwe Local Municipality by R 15, 410, 000.00 and in Sol Plaatje Local Municipality by R 15, 410, 000.00

and (c) the Department will conduct provincial, district and Local workshops in order to capacitate municipalities on the implementation aspects of programme and further increase municipal enrolment in the programme.

(2)(a)The release of payments in Non-Grid Electrification programme was delayed due to physical verification that had to be performed by the Department for installed Solar

Home Systems prior to the disbursement of payments. (b) To improve the situation, verifications of installations will be undertaken as part of programme management and not at the end when an invoice is received.

Reply:

a) There are currently fifty eight (58) Independent Power Producers supplying Eskom with energy. These IPPs are located in different parts of the country but mostly in the Northern Cape (1 small hydro IPP, 2 wind IPPs and 24 solar IPPs), Eastern Cape (12 wind IPPs and 1 solar IPP) and the Western Cape (4 wind IPPs and 5 solar IPPs).

b) The combined number of Independent Power Producers (IPPs) currently producing electricity are categorized per technology as follows:

• 33 IPP’s produce electricity through Solar Photovoltaic. Most of these IPPs are located in areas where there is sufficient solar radiation such as the Northern Cape. In addition, these projects also require substantial land to place the solar panel and such land must not be agricultural land;

• 18 IPPs produce electricity through Wind. Wind projects also requires land but such land may still be used for stock farming. In most cases, the land used by IPPs in this regard is mountainous and is not good for agricultural activities;

• 4 IPP’s produce electricity through Concentrated Solar. All these IPPs are located in the Northern Cape due to the good solar radiation in this province. Some of the Concentrated Solar has energy storage which allows for generation of energy during the peak time and avoid using expensive diesel generators to serve the peak demand;

• 2 IPP’s produce electricity through Hydro. Hydro can be regarded as a base load power plant because it can generate electricity 24 hours a day depending on the availability of water; and

• 1 IPP produce electricity through Landfill Gas. This technology also can generate electricity 24 hours a day using the gas that comes from the landfills. It is a very innovative way of utilizing our landfill as a source of energy.

c) As at the end of July 2017, the installed generation capacity is over 3200 Megawatts taking into account all the different technologies. The energy produce by each technology to date is as follows:

• The Solar photovoltaic IPPs have generated approximately 7 726 GWh of energy;

• The wind IPPs have generated approximately 9 161 GWh of energy;

• The concentrated solar IPPs have generated approximately 934 GWh of energy;
• The Small hydro power producers have generated approximately 110 GWh of energy,  
• While the Land fill gas IPP has generated approximately 15 GWh of energy.

In total all the IPPs have generated slightly under 18 000 GWh of energy.

Reply:

Reply: the Department

(a) Yes

Period	(i)Name of the Transactional Advisor
1 January 2012 - 31 December 2012	None
1 January 2013 – 31 December 2013	None
1 January 2014 – 31 December 2014	None
1 January 2015 – 31 December 2015	None
1 January 2016 – 31 December 2016	Mahlako-A-Phahla Investment (Pty)
(ii) To review the state of readiness on the Nuclear New build programme.
(iii) The pricing for the tender for phase 1 was R20 174 423.82 and R80 000 000 for phase 2.
(iii) The transactional advisors were paid R20 174 423.82 by 31 December 2016.

(b) Yes, CEF and NERSA appointed transaction advisors for tenders in the period 1 January 2012 to 31 December 2016;

(b)(i)Cresco Project Finance (Pty) Ltd, Bulelwa Nombamba and Edward Nathan Sonnebergs, Sigpro, Deloitte, Bareki, Edward Nathan Attorneys, Shakan were appointed by CEF and Spoormaker and Partners by NERSA

(b)(ii) (iii) (iv)The following were appointed by CEF for tenders as mentioned below:

• Landfill Gas to Electricity Projects- R850 000,00 +R50 000,00 retainer fee per month.

• Completion of 3 bid submissions for REIPPP and Legal advice on conditions that need to be stipulated on the R2 letter of support for Window 4 of the REIPP project- R480 000,00 + Addendum R350 000,00. Total contract value = R830 000,00 and transactional advisors were paid R644,189.00

• Advisory service for the development and execution of AEMFC’S T Project underground coal mine- R24 815 990.00 and R1, 507 220.00 relates to Procurement advisory and amount paid to date for tender advisory is R497 420.00

• Mining Contractor tender - R229 824.00 and amount paid to date is R229 824.00
• Review the BBBEE ratings compliance at evaluation stage in the Mining Contractor tender- R766 080,00 and amount paid to date is R766 080,00.

• Advising on the revised B-BBEE codes- R273 600, 00 and Amount paid to date is R273 600, 00.
• Conversion of Mine from Contractor to Owner Operations- R525 104.00 and Amount paid to date is R131 276.00

NERSA

Spoormaker & Partner were appointed for refurbishment of NERSA building as Consulting Engineers, Architects, Project Managers and Quantity Surveyors. Included in the tender was the requirement for the service provider to assist NERSA with the procurement process by drafting the Bill of Quantities and Construction Industry Agreements- Consulting transactional advisor contract was R6.6 million. Amount paid to date is R3.9 million.

Reply:

(a) We can confirm that Strategic Fuel Fund has a trading unit. Minister received a request from SFF and an approval was granted by the then Minister and (b) Trading of crude oil allocation from the Nigerian National Petroleum Company.

Reply:

There is currently no new envisaged recruitment campaign for Boards of entities reporting to the Minister of Energy.

Reply:

The revised IEP and IRP will be released to the public after Cabinet Process and Approval. Once Cabinet has approved the final IRP and IEP they will be gazetted for access to Public and also submitted to Parliament.

2295. Mr M M Dlamini (EFF) to ask the Minister of Energy:

1. (a) Why has her department not yet signed the power purchase agreements for renewable energy with independent power producers and (b) by what date is it envisaged that the power purchase agreements will be signed;

2. does she intend to oppose the application for an interdict preventing the power purchase agreements from being signed; if not, why not? NW2534E

Reply:

1. (a) The Minister has addressed the nation on the matter of outstanding Power Purchase agreements for bid window 3,5 and 4 on Friday 01 September 2017 during the media briefing.

(b) It was committed that the PPA for bid window 3,5 and 4 will be signed by the end of October 2017.

(2) Yes, as the interdict will prevent government from being able to implement a mix of energy generation options that is envisaged to support our mandate on reliable, affordable energy security for the Country.

 

2296. Mr M M Dlamini (EFF) to ask the Minister of Energy:

1. Whether the draft Integrated Resource Plan (IRP) and Integrated Energy Plan (IEP) as contemplated in the Electricity Regulation Act, Act 4 of 2006, will be re-published for comment; if not, why not;

2. on what dates will the IRP and IEP be promulgated;

3. whether she intends to remove the restraints on renewable energy from the draft IRP and IEP before it is published; if not, why not;

4. why does the draft IRP and IEP make provision for new coal-fired and nuclear power when it has comprehensively been shown by the Council for Scientific and Industrial Research that renewable energy with additional storage capacity and gas is the most cost-effective and feasible plan for South Africa’s energy future? NW2535E

Reply:

1. The process for consultation on IRP and IEP has been concluded with the public. The current process is to finalise the policy document and gazetting the final document for implementation. Consultation on the policy is concluded and final documents will be published.

2. Target for promulgation is end of February 2018.

3. Minister will not interfere with the policy development process outside the prescribed laws, as this will be illegal.

4. The final IRP and IEP will be communicated and promulgated once concluded, currently we don’t have a final position to communicate.

 

2344. Mr G Mackay (DA) to ask the Minister of Energy:

Whether, in relation to recent activities at the Central Energy Fund, she will furnish Mr G Mackay with copies of (a) a letter drafted by a certain person (name furnished) to her predecessor to obtain a ministerial directive on 6 October 2015, (b) her predecessor’s response dated 3 June 2016 and (c) the subsequent ministerial directive of her predecessor; if not, in each case, why not; if so, by what date in each case? NW2589E

Reply:

The investigation on the sale of strategic fuel fund is still not concluded and therefore all documents that relates to the matter will not be released until all process are concluded. Once all processes have been concluded all reports and all any other documents will be referred to Parliament’s Portfolio Committee for consideration. We are expecting that all the work will be concluded by latest November 2017.

Reply:

a) (i) The Department of Energy does not fund including by way of discretionary funding any institution of research and development, and/or (ii) Internationally, all entities reporting to the Department with exception of PetroSA a subsidiary of CEF and SANEDI does not fund institution of research and development, and does not have a discretionary funding.

(aa) Not applicable

(aaa) Not applicable

(bbb) Not applicable

(bb) Not applicable

(cc) Not applicable

(b) CEF SOC Ltd-PetroSA

(i) Domestically: Yes

(ii) Internationally: No

(i)(aa)(aaa) PetroSA Synthetic Fuels Innovation Centre (PSFIC) UWC.

(bbb) Development of Conversion of Olefins to Distillate (COD) Technology- Development of human capital for the South African Oil and Gas industry. (bb) Since 2011, contract extends to 2020

(cc) Currently R4.5m per annum

(b) SANEDI

(i) Domestically: Yes

(ii) Internationally: No

(i)(aa)(aaa) University of Venda- Centre for Renewable Studies, (bbb) Implementation of Sustainable Energy Greening Solutions in selected rural areas, (bb) period of funding was from 2017-2019 (cc) for the amount of R800,000.00.

(i)(aa)(aaa University of Fort Hare- Centre for Renewable Studies: (bbb)Implementation of Sustainable Energy Greening Solutions in selected rural areas, (bb) period from 2013-2015 and (cc) for R3,742,760.00.

(i)(aa)(aaa) University of Cape Town, (bbb) Transport energy modelling (bb) from 2015-2017 (cc) for R6, 000,000.00.

(i)(aa)(aaa) University of Pretoria, (bbb) Smart Grids, (bb) from 2016-2017 for (cc) R9, 000,000.00.

Reply:

(1) The suspension of Mr Aphane is still a matter between the department and the employee. The circumstance leading to the suspension cannot be disclosed to anyone as this is still under investigation. This cannot be revealed as it might taint the integrity of the investigation.

(2) The matter is still under investigation and the processes are within the 60 days prescribed by the law and no findings and outcomes have been reached. The matter will be subjected to disciplinary processes as guided by Chapter 7 of SMS handbook.

Reply:

1) (a) and (b) No, as indicated in question 1148, the procurement process on the installations had not yet begun. The delay in the installation process is premised on the need to finalize the necessary controls and systems to mitigate the occurrence of the problems experienced in the previous rollout model. The systems include (i) a GPS verification and tracking system, that will enable the recording (photographic and locational) of each installed system, (ii) the signing of the municipal framework agreement, to ensure that there is buy-in by the municipality, (iii) the identification of the Designated Installation Area (DIA) within the municipality, which is sized according to the number of systems to be installed within the municipality, (iv) the identification of the installers from the DIA (v) the registration for accredited training of the installers identified from the DIA and (vi) the social facilitation to ensure that the beneficiary community has been exposed to the operational requirements of solar water heater systems, and to align community expectations through the Social Facilitation platform.

2) Yes

(a) 59 396 units were purchased as at 03 April 2017.

(b) The units are safely kept at various locations secured by the manufacturers. This is in accordance with the Supply Agreement that each manufacturer has signed, in terms of which the manufacturer assumes full responsibility of the systems until they have been installed.

3) (a) For the first 3 months the manufacturer keeps the systems under storage at no additional cost. After the 3 months, the storage costs average R2 per system per day.

(b) The installation programmes at Tlokwe/Ventersdorp (North West), Sol Plaatje (Northern Cape), Bitou (Western Cape) have been initiated insofar as (1) (i),(ii),(iii),(vi). The identification of the installers for purposes of training is expected to be completed by July 2017.

4) The Solar Water Heating programme is one of the key programmes of the Department of Energy in the context of the Energy Mix objective of the energy plan. Therefore the Minister, from time to time, will make pronouncements as part of the implementation process.

Reply:

Pursuing the nuclear energy option is a declared intention of Government guided by the Nuclear Energy Policy of 2008 and Integrated Resource Plan 2010-2030 (IRP 2010-2030). This option exists to ensure that key that key objectives of the National Development plan 2010-2030, especially on socio-economic development and job creation, are achieved. Since 2010, the IRP 2010-2030 has guided procurement of other technology options, some of which are already generating electricity to the national grid. The Department is currently in the process of updating the IRP and has consulted the stakeholders.

The Council for Scientific and Industrial Research (CSIR) is one of the stakeholders who have decided to make comments on the IRP base-case and assumptions, as requested by the Department in November 2016. The Department is engaging on various other inputs (including CSIR’s) made towards the finalisation of the in line with declared targets of the last quarter of the financial year 2017/18.

I believe the Department has recognised the importance of costs in this exercise and I believe it is important to afford us the room to engage and address all inputs we have received to date towards completing the task at hand.

 

Reply:

(a) There were no employees from the Department of energy and (b) and entities reporting to the Department of Energy who were awarded any contracts or agreements to conduct any business with the state or any state entity in the (i) 2014-15; (ii) 2015-16 and (iii) 2016-17 financial years. (aa) (aaa)Not applicable and (bbb) Not applicable and (bb) (aaa) Not applicable and (bbb) not applicable.

 

Reply:

(a) (i) The Minister of Energy and the (b) Deputy Minister make use of security services paid for by the state. (ii) the Minister as well as the Deputy Minister’s immediate families do not make use of any security services paid for by the state (iii) as well as staff members (aa) it is in compliance with the Cabinet decision of 7 December 2007, (bb) the South African Police Services (SAPS), (cc) According to the Ministerial Handbook of 2007, chapter 2, paragraph 3.1, 3.3 and 3.4 the Minister has complied with what is stipulated in the Ministerial Handbook. The Minister was allocated with VIP Protectors from SAPS in compliance with provisions in the Ministerial Handbook.

(c) I am informed that only the Chairman and the Chief Executive Officer of the Central Energy Fund are provided with close protection services in accordance to a threat assessment done in December 2016 by Resurgent Risk Managers (Pty) Ltd with their respective assessments, (ii) none of the immediate family members nor (iii) staff members make use of security services paid for by the state, (cc) the risk arose after the Strategic Fuel Fund contract review commenced.

Reply:

(1) (a) There are 6 State-Owned Entities which report directly to the Minister of Energy and all have boards in place:

• The South African Nuclear Energy Corporation (“ NECSA”);
• The National Nuclear Regulator (“ NNR”);
• The National Energy Regulator of South Africa (“ NERSA”);
• The National Radioactive Waste Disposal Institute (“ NRWDI”);
• CEF (SOC) Ltd (“CEF”); and
• The South African National Energy Development Institute (“ SANEDI”)

(b) None

SOUTH AFRICAN NUCLEAR ENERGY CORPORATION
#	Designation	Name	(i) (aa), (bb) Term of office
	Chairperson	Dr. Kelvin Kemm ( Chairperson)	2 Mar 2016 – 28 Feb 2019
	Not fewer than five, and not more than seven, qualified Directors (ie. 5 – 7 Directors)	Mr Samuel Matlobela Sekgota	2 Mar 2016- 28 Feb 2019
		Dr Gregory Jerome Davids	7 Dec 2016 – 6 Dec 2019
		Dr. Namane Magau	2 Mar 2016 – 28 Feb 2019
		Ms. Rosemary Mosia	2 Mar 2016 – 28 Feb 2019
		Mr. Zibusise Comfort Ngidi	2 Mar 2016 – 28 Feb 2019
		Ms. Pamela Bosman	2 Mar 2016 – 28 Feb 2019
		Dr. Prince Kennedy Tshivase	2 Mar 2016 - 28 Feb 2019
	A CEO	Mr. Phumzile Tshelane	1 Jan 2017 – 31 Dec 2019
	An Official of the DOE	Dr. Nqaba Ngcobo	24 Mar 2016- 23 Feb 2019
	An Official of the DIRCO	VACANT
(ii) (aa) Total board members= 11 (1 VACANT) (ii) (bb) Total female board members = 3

NATIONAL NUCLEAR REGULATOR
#	Designation	Name	(i) (aa), (bb) Term of office
	Rep. of organized labour	VACANT
	Rep. of organised business.	Ms Bridgette Mokoetle	7 Dec 2016 – 6 Dec 2019
	Rep. of organised civil society	Mr Kabelo Kakoma	7 Dec 2016 – 6 Dec 2019
	Official of the DoE	Ms Elsie Monale	7 Dec 2016 – 6 Dec 2019
	Official of the DEA	Ms Devinagie Bendeman	7 Dec 2016 – 6 Dec 2019
	Not more than seven Directors	Dr Thapelo Motshudi (Chairperson)	7 Dec 2016 – 6 Dec 2019
		Dr Pamela Zibuyile Dube (Deputy Chairperson)	7 Dec 2016 – 6 Dec 2019
		Amb. Mochubela Jacob Seekoe	7 Dec 2016 – 6 Dec 2019
		Mr Protas Phili	7 Dec 2016 – 6 Dec 2019
		Mr Jeffrey Leaver	7 Dec 2016 – 6 Dec 2019
		Dr Bethuel Sehlapelo	7 Dec 2016 – 6 Dec 2019
		Mr Abraham Pieter Le Roux	7 Dec 2016 – 6 Dec 2019
	Chief Executive Officer	Dr Bismark Tyobeka	1 Oct 2016 – 31 Oct 2019
(ii) (aa) total board members = 13 (1 VACANT) (ii) (bb)TOTAL FEMALE BOARD MEMBERS = 4

NATIONAL ENERGY REGULATOR OF SOUTH AFRICA
#	Designation	Name	(i) (aa), (bb) Term of Office
	4 Full time regulator members who serve for 5 year term (one of which is the CEO)	VACANT (Petroleum) Acting - Ms Nomfundo Maseti
		VACANT (Electricity) Acting– Mr Mbulelo Ncetezo
		Ms. Nomfundo Maseti (Piped-Gas)	1 Mar 2014 - 28 Feb 2019
		Mr Christopher Forlee (CEO)	1 Jan 2017 – 31 Dec 2021
	5 Part time regulator members which serve for 4 years One of which is the Chairperson and another being the Deputy Chairperson	Mr Jacob Modise (Chairperson)	1 Mar 2014- 28 Feb 2018
		Ms. Maleho Nkomo (Deputy Chairperson)	1 Mar 2014- 28 Feb 2018
		Mr Fungai Sibanda	1 Mar 2014- 28 Feb 2018
		Ms. Kgomotso Mthimunye	1 Apr 2014- 31 Mar 2018
		Mr Yusuf Adam	1 August 2016 – 31 July 2020
(ii) (aa) total board members = 9 (2 VACANT- but both filled with Acting appointments while recruitment process is finalized) (ii) (bb) total female board members=3

NATIONAL RADIOACTIVE WASTE DISPOSAL INSTITUTE
#	Designation	Name	(i) (aa), (bb) Term of office
	An Official of the DoE	Ms. Lerato Makgae	1 Feb 2017 – 31 Jan 2020
	An Official of the DEA	1Mr. Trevor Mark Gordon	1 Feb 2017 – 31 Jan 2020
	An Official of the DWS	VACANT
	An Official of the DoH	Dr. Barry Kistnasamy	1 Feb 2017 – 31 Jan 2020
	Not more than five other Directors One of whom is the Chairperson and one of whom is the Deputy Chairperson	Dr Tshepo Mofokeng (Chairperson)	1 Feb 2017 – 31 Jan 2020
		Mr Luvuyo Mkontwana (Deputy Chairperson)	1 Feb 2017 – 31 Jan 2020
		Ms Mbali Ndlovu	1 Feb 2017 – 31 Jan 2020
		Mr Lebohang Sam Moleko	1 Feb 2017 – 31 Jan 2020
		Adv. Mothusi Lucas Tsineng	1 Feb 2017 – 31 Jan 2020
	CEO	Dr. Wolsey Barnard	1 Aug 2016 – 31 July 2019
	CFO	Mr. Justin Daniel	1 Aug 2016 – 31 July 2019
(ii) (aa)total board members=11 (1VACANT) (ii) (bb) Total female board members=2

CEF (SOC) LTD
#	Designation	Name	(i) (aa), (bb) Term of office
	Two Officials of the DoE (Act doesn’t specify a minimum or maximum for their term of office)	Mr Tseliso Maqubela	(Act doesn’t specify a minimum or maximum for their term of office) 3 Nov 2014 – 31 Oct 2017
		Ms Gosetseone Leketi	(Act doesn’t specify a minimum or maximum for their term of office) 7 Dec 2016 – 6 Dec 2021
	Chairperson (5 year term)	Mr Luvo Lincoln Makasi (Chairperson)	7 Dec 2016 – 6 Dec 2021
	Not more than five other Directors	Mr Jim Besnaar	7 Dec 2016 – 6 Dec 2021
		Adv. Lindiwe Mtunzi	1 Mar 2016 - Feb 2019
		Mr Neville Israel Mompati	7 Dec 2016 – 6 Dec 2019
		Ms. Mekateko Molope	1 Mar 2016 – Feb 2019
	CEO	Mr Mojalefa Moagi (Acting CEO)	1 Mar 2016 – Feb 2019 ( Acting appointment – no specific Acting period specified)
	CFO	Mr. Lufuno Makhuba	1 Apr 2017- 1 Mar 2022
(ii) (aa) Total board members= 9 (1 VACANT) (ii) (bb) Total female board members= 3

 

SOUTH AFRICAN NATIONAL DEVELOPMENT INSTITUTE
#	Designation	Name	(i) (aa), (bb) Term of office
	Chairperson	Dr Ingrid Tuvfesson	1 Dec 2016 – 31 Nov 2020
	Deputy Chairperson	Mr Nkululeko Buthelezi	1 Dec 2016 – 31 Nov 2020
	An Official from DST	Mr Mboneni Moufhe	1 Dec 2016 – 31 Nov 2020
	An Official from the DoE	Ms Nomawethu Qase (An alternate DoE rep must be appointed)	1 Dec 2016 – 31 Nov 2020
	An Official from the DEA	Ms Deborah Ramalope	1 Dec 2016 – 31 Nov 2020
	An Official from the DTI	Mr Gerhard Fourie	1 Dec 2016 – 31 Nov 2020
	An Official from the DoT	VACANT
	Two other suitably qualified persons	Mr Mlondolozi Mkhize	1 Dec 2016 – 31 Nov 2020
		Ms Phuthanang Motsielwa (Segoati)	1 Sep 2014 - 31 Aug 2017
	Acting CEO (5 year term)	Dr. Thembakazi Mali	1 July 2017 - 31 December 2017
(ii) (aa) Total board members= 10 (2 VACANT) (ii) (bb) Total female board members= 5

(2) (a) and (b) Not applicable.

Reply:

The (a) Department of Energy and (b) entities reporting to the Minister have never procured any services and/or made any payments to (i) Bell Pottinger or (b) (ii) Only NTP (A Wholly-Owned Necsa Subsidiary) in August 2016, NTP Radioisotopes appointed Vuma Reputation Management (Pty) Ltd. (b) (ii) (aa) Services from Vuma Reputation Management (Pty) Ltd were procured to provide ad-hoc media, stakeholder engagement and related services to drive and enhance the reputation of NTP’s global operations and nuclear medicine product portfolio.

(b) (ii) (bb) The RFQ process (NTP-RFQ07122016), adjudication and final appointment was handled by NTP Procurement and NTP Finance in accordance with the Necsa / NTP procurement policies and procedures, and was in accordance with the criteria set out in the Preferential Policy Procurement Framework Act, Act No: 5 of 2000.

Since the value of the work to be done would be on an ad hoc basis, the overall RFQ value was capped at R500,000-00 (excl. VAT), for services rendered.

(b) (ii) (dd) When these ad hoc services were required, Vuma Reputation Management (Pty) Ltd, would be engaged using the approved resource / hourly rate as per the accepted quote.

To date, NTP has utilised the services of Vuma Reputation Management (Pty) Ltd to the value of R338,443-00, which amounts have been paid against invoices for work done.

(b) (ii) (cc)(ee) (ff) Details of the work done and payments made to date can be found below:

ACTIVITY	PAYMENT
South African Society of Nuclear Medicine (SASNM) pre- and post-congress stakeholder, events and media management.	R59,280
South African Society of Nuclear Medicine (SASNM) – arranging of stakeholder engagement dinner with congress speakers and high profile delegates.	R45,600
Meetings and briefing sessions on various projects held with client from 11 August – 14 September 2016 relating to enhancing NTP brand through internal and external communications campaigns.	R42,294
Stakeholder key message deployment covering the following: o Stakeholder mapping o SWOT analysis and presentation o Consolidation of results o Messaging and development plan	R93,913
Meetings with client to discuss: o   Key messages and matrix o   Overview of presentation	R25,080
Annual membership to: o   African Chapter of International Brand and Reputation Community (INBREC)	R23,940
Social Media Strategy and Policy Development	R48,336

Reply:

a) The Department is in the process of analysing the comments received from the public, once done the Department will also consult sister departments for comments and submit to Cabinet for processing. The updated Integrated Resource Plan (IRP) and the Integrated Energy Plan (IEP) will then be submitted to Parliament for processing.

b) i) The next step is to analyse the public inputs, make adjustment to assumptions used where necessary, rerun the base case, run scenarios and come up with a balanced scenario (draft IRP) before policy adjustment. We anticipate having the plans to Cabinet by the fourth quarter of 2017/18 financial year.

c) Once Cabinet has processed the updated IRP &IEP,..

d) i) Once Cabinet approves the IRP it will be submitted to Parliament for processing

    ii) See response to question (c)

(e) (i) See response to question (a)

    (ii) See response to question (c)

 

Reply:

(a) The Department of Energy and (b) its entities reporting to it has never; (i) procured; (ii) nor made any payments to the Decolonisation foundation.

(bb) Not applicable

(cc) Not applicable

(dd) Not applicable

(ee) Not applicable

(ff) Not applicable

Reply:

The response is attached below.

NO	South African Nuclear Energy Corporation (NECSA	National Energy Regulator of South Africa (NERSA)	National Radioactive Waste Disposal Institute (NRWDI)	National Nuclear Regulator (NNR)	South African National Energy Development Institute (SANEDI
(a) (b) (c) 1 (i) 1(ii) (ii)	There are no vacant positions within NECSA. Not applicable. Not applicable	There is a vacant position of the Chief Financial Officer. The position has been vacant for a period of 5 months. The CFO position became vacant due to resignation. NERSA was awaiting the appointment of its CEO who assumed duty on 1 January 2017. The CFO position reports to the CEO hence the rationale to await the appointment of the CEO first.	There are no vacancies in the positions in question. Not applicable Not applicable	There are no vacancies in the positions in question. The institution does not have a position for a COO Not applicable Not applicable	The current CEO is on a month-to-month contract with effect from 1 April 2017. SANEDI does not have a position for a COO. The position has been vacant From 1 April 2017. The term of office for the CEO expired on 31 March 2017.
2	Not applicable.	Yes, the position was advertised and interviews were held on 8 March 2017. The psychometric assessments were completed on 30 March 2017. We anticipate the vacancy to be filled by 1 June 2017 at the latest	Not applicable as indicated above	Not applicable as indicated above	The board is in the process of filling the vacancy an advert for the position has not yet been issued.
3	Not applicable.	Mr. Nthupeni Ragimana is the Acting CFO. He has been acting for five (5) months in this position. (c) No. Mr. Ragimana did not apply for the CFO position.	Not applicable as indicated above	Not applicable as indicated above	Mr Nassip is the acting CEO and will be on a month-to-month contract effective from 01 April 2017.

NO	Central Energy Fund Group	PetroSA	Petroleum Agency of South Africa	Strategic Fuel Fund
1(a) (b) (c) 1 (i) 1(ii) (ii)	(a) (i) (ii) The position of the CEO has been vacant for 2 years. The previous incumbent resigned effective from December 2014. (b) (i) (ii) The position for CFO has been vacant for the past 4 months. The previous incumbent resigned effective from November 2016.	(i) (ii) The position for CEO is vacant and has been vacant for 1 year, 4 months as the previous incumbent resigned effective from November 2015. (b) (i) (ii) The position for CFO is vacant and has been vacant for 1 year, 4 months as the previous incumbent’s service was terminated by mutual agreement in 2015. (c) (i) (ii) The position for COO is vacant and has been vacant for the past 3 years. The previous incumbent resigned in 2014.	Yes. The position of CEO is vacant. The position has been vacant for 5 years The term of office for the previous CEO came to an ended.	The position for CEO is currently vacant. The position has been vacant for 1 year 10 months. The previous incumbent resigned effective from August 2015.
2	The vacancies of CEO and CFO were both advertised on 22 November 2016. (a) Interviews for the vacancy of CEO were done on the 27 March 2017 and 28 March 2017. Interviews for the position of CFO were held on 2 March 2017. (b) It is anticipated the position of CEO will be filled by 1 June 2017. The position of CFO was filled with effect from 01 April 2017.	a) The roles of the CEO and CFO was advertised and assigned to Executives Search companies to conduct a headhunting process on behalf of the company. The COO position will not be filled as it has been removed from the structure after approval of the new structure by the Board. (b) It is anticipated that this process (including interviews and required psychometric assessments) will be completed by the end of April 2017, when a recommendation will be made to the Board and Shareholder for appointment	The position for CEO was advertised but no interviews were held pending the finalisation to move PASA from the Department of Energy to the Department of Mineral Resources as envisaged in the MPRDA amendment bill.	The recruitment process commenced in February 2016. The recruitment process was placed on hold pending the CEF Group business model review. The acting CEF Group CEO is also managing the SFF role.
3	(a) 1 person. Mr. Mojalefa Moagi is currently the CEF CEO. 1 person. Mr. Lufuno Makhuba was appointed the Acting CFO. (b) Mr. Moagi has been acting CEO since July 2016 to date. Mr. Makhuba acted as the CFO from January 2016 – 31 March 2017. (c) Mr. Moagi has applied for the position of CEO and was interviewed on 28 March 2017.   Mr. Makhuba applied for the position of CFO and was successfully appointed as the CEF Group CFO effective 01 April 2017.	(a) 2 people. (b) The CEO has been acting from the 01 December 2016 to date and the CFO has been acting from 01 March 2016 to date, following the resignation of Ms. Lindiwe Bakoro on the 30 November 2015. (c) The recruitment for both CEO and CFO are currently managed by Executive Search Company. No internal candidates, including acting incumbents expressed interest in the roles when they were advertised previously.	Ms. Mekwe has been acting in the position since 22 October 2013 to date. (c) She has not applied for the position.	1 person. Mr. Mojalefa Moagi is the acting CEO of SFF. (b) He has been acting from the 16 September 2016, following the resignation of Mr. Sibusiso Gamede in July 2016. (c) The recruitment process has been placed on hold.

Reply:

1. As per 5-year SFF Corporate Plan developed for the period commencing 01 April 2017, SFF is planning to undertake technical feasibility work in the new financial year. The objective of this technical feasibility study is to ascertain the technical requirements for re-commissioning the terminal and also the operating philosophy that will ensure that the terminal operations are within safety limits in light of the recent property developments within the vicinity of the terminal.

(2) SFF The private sector Clean Fuel Storage Tanks Project was never prioritised over the upgrade of the Milnerton Storage Tank Site.

In the second half of calendar year 2014, the oil prices started to fall and only then could a business case of refurbishing the Milnerton Terminal be justifiable hence in compliance with procurement prescripts, SFF went out on a public tender for services of a company that can carry out Integrity Tank Testing (which was to inform a Refurbishment Plan for the Milnerton Terminal) on the 9th of November 2014. From this procurement process, a service provider was selected and they partly carried out the service till its contract ran out in May 2016.

The Milnerton terminal is currently certified to handle crude oil only and the Burgan Oil terminal is certified for Clean Petroleum Products, hence it was possible for NERSA to grant the construction license for such infrastructure to be developed. These two terminals are not competing and are therefore serving two different markets i.e. Clean Products and Crude Oil. Upon the completion of the refurbishment program, SFF will generate revenues from the crude oil customer base.

In recognition of the fact that SFF can fulfill its mandate of Security of Supply for the country quicker when it is holding Clean Fuels than Crude Oil, when an opportunity arose to participate in a Clean Fuels Project, SFF did put support for the project with an intention to further its Security of Supply Mandate and we must mention that SFF has never invested any cash in this venture.

(3) The privatisation or the sale of the Milnerton terminal is not in the 5-year SFF Corporate Plan. The Corporate Plan is a 5 year strategic road map for SFF. In this Corporate Plan SFF intends to continue with the Integrity Tank Testing and eventually refurbish and re-commission the Terminal and earn revenues from it.

Reply:

1. (a & b) The Department of Energy and its entities did not participate in the dialogue with the President unpacking of SoNA 2017 on Radical Economic Transformation implementation event hosted at the Oyster Box Hotel in Umhlanga, Durban, on 25 February 2017;
2. (a &b) The Department of Energy and its entities did not participate in the auction of (i) Souvenirs or (ii) personal belongings of the President of the Republic, Mr. Jacob G Zuma.

Reply:

(1) The agreements for the sale of crude oil entered into by SFF with the buyers contain confidentiality provisions that prohibit SFF from disclosing the contents of these agreements to third parties. The consent to disclose to third parties must first be obtained from the buyers before such disclosure can happen. The buyers have a right, in contract, to decline SFF’s request unless SFF is compelled in law to make a disclosure.

(2) (a)(i) National Energy Act 2008, s17(1) states that ‘The Minister may, in a prescribed manner, for the purpose of ensuring security of supply, direct any state-owned entity to […] maintain and manage national energy feedstocks’ and through s17(2) ‘the nominated state-owned entity must perform the functions in subsection 17(1) in accordance with the relevant published security of supply strategies’ and read with s17(3)(b)(ii) which states that ‘the strategies or policies contemplated in subsection 17(2) may contain but not be limited to the conditions under which withdrawals may be made from such strategic energy feedstocks’.

2(a)(ii) Procurement regulations apply to procurement of goods and services, the sale was governed by subsection 54(2)(d) Public Finance Management Act 1 of 1999 which states that ‘Before a public entity concludes an [acquisition or disposal of a significant asset], the accounting authority of the public entity must promptly and in writing inform the relevant treasury of the transaction and submit relevant particulars of the transaction to its executive authority for approval of the transaction.’

2(b)(i) 10 million barrels;

2(b)(ii) Bonny Light and Basrah blend.