Questions and Replies

Reply:

According to the information Received from Transnet:

Transnet contracting specifically precludes claims that are regarded as consequential losses by all our customers. Any possible financial losses by farmers as a result of the strike qualify as such and will therefore not be considered on the basis of the above exclusion. All farmers, small and large scale, are expected to have insurance in place to underwrite risks of this nature.

 

Reply:

According to the information received from Transnet

(a) and (b):

The table below shows Transnet National Ports Authority’s total revenue for the past four financial years from FY 2018/19 to FY 2021/22, as well as revenue contributions per port.

i.

ii.

iii.

iv.

v.

vi.

vii.

viii

Reply:

According to the information received from Transnet:

a) An assessment was done by the Department of Transport, the Department of Home Affairs (Immigration Department) and the TNPA, and agreement was reached that there is currently no need for new infrastructure. Thus,

1. No new customs facilities will be built; and
2. No new infrastructure will be built to allow passengers to get off the specified ships for tourism facilities.

b) A few requirements were identified for the Port of Saldanha to attain Port of Entry Status. The requirements included identifying a suitable site and a housing facility to accommodate the relevant government departments; as well as an area to process the arriving passengers.

(i) The site identified and allocated for the Government Departments already has a housing facility equipped with running water, electricity, and connectivity. The identified housing facility is currently leased to the Department of Public Works on behalf of the Department of Home Affairs (Immigration Department). The assessing team has confirmed that the site meets the requirements from the TNPA for Port of Entry Status. Upgrades will only be undertaken as and when required.

ii) A temporary passenger facility will be erected as and when there is a need. Three sites have been identified for such erection and processing. As and when the demand proves necessary for permanent infrastructure development, new infrastructure will be developed to process passenger arrivals.

 

Reply:

According to Information Received from Eskom:

a) The US$497 million (approximately R9 billion) World Bank concessional loan facility to Eskom for the repurposing of Komati Power Station, comprises US$439.5 million from the International Bank of Reconstruction and Development (IBRD), a US$47.5 million facility from the Canada Clean Energy and Forest Climate Fund (CCEFCF) and a grant of US$10 million from the Energy Sector Management Assistance Program (ESMAP). The IBRD and CCEFCF facilities are both 20-year facilities, with the IBRD facility bearing an interest rate of SOFR (six months average secured overnight financing rate) plus 0.86% (approximately 2.88% all in as of 7 November 2022) and the CCEFCF facility bearing interest at a rate of 0.75%. The loans have a capital repayment grace period of five years and are then amortised over the remaining 15 years. The IBRD facility has a commitment fee of 0.25% per annum of the undrawn balance and a front-end fee of 0.25% of the full loan amount.

b) The loan allows Eskom to finance the repurposing of Komati Power Station at a concessional cost of funding and create jobs and opportunities for workers and communities that are impacted by the decommissioning of Komati.

c) The loan will be used to finance the decommissioning of the Komati Power Station, repurposing and repowering of the station and other elements of the Just Energy Transition (JET), including provision for the training of Eskom employees, community development and stakeholder initiatives. The repurposing will install 150MW of photovoltaic, 70MW wind generating capacity, 150MW from a Battery Energy Storage System and a synchronous condenser.

d) In line with the IRP 2019, Eskom plans to decommission and repurpose coal-fired power plants at Camden, Hendrina, and Grootvlei. In alignment with Eskom’s JET Strategy, repurposing of the retired capacity will mean replacement with renewable generation capacity, while considering the economic, social, and environmental challenges of the transition. The repurposing of these power stations is estimated to cost circa US$2.6 billion.

e) The funding is anticipated to come from a combination of development finance institutions, climate funds and the private sector.

 

 

Reply:

According to the information received from Transnet

The top five capital projects for the Port of Saldanha are listed in the table below. These projects form the bulk of the R182m investment committed for 2022/23. The table includes the planned completion dates and link with the Saldanha Bay Industrial Development Zone.

Port of Saldanha Top 5 Projects (a)	Planned Project Completion Date (b)	Link with Saldanha Bay Industrial Development Zone (SBIDZ) (c)
1. Bulk Electrical Power Supply and ancillary installation	30 June 2023	Project makes allowance for a tie-in of SBIDZ switching station with Port’s new main intake substation for supply of 16MVA electrical power to the SBIDZ over next 16 years
2. Security Requirements to Maintain ISPS Accreditation - Fencing	30 June 2023	None
3. Purchase of Fire and Emergency Services Appliances	01 June 2023	None
4. Dredging Requirements in the Port	30 May 2023	Planned dredging to maintain berth depth requirements associated with TNPA/ Saldehco Facility Operator Agreement, as per concluded Section 56 process. SBIDZ has sub-leasing agreement with Saldehco of 20ha.
Port of Saldanha Top 5 Projects (a)	Planned Project Completion Date (b)	Link with Saldanha Bay Industrial Development Zone (SBIDZ) (c)
5. Refurbishment of Quay and Jetty Infrastructure - Fenders	14 March 2023	None

 

Reply:

According to the information received from Eskom

(a)

When the last operating unit at Komati Power Station was shut down on 31 October 2022, this removed a potential 114 MW from the system. Before the shutdown of the Komati units, all nine units had a nominal capacity of 884 MW.

(b)

Eskom plans to add 150 MW solar, 150 MW wind and 70 MW wind power to replace this shut down capacity. Eskom notes that it is not expected that the full capacity of the coal stations to be shut down could be replaced on a 1-to-1 basis by repowering and repurposing with renewables. The responsibility of ensuring adequate capacity lies with the Department of Mineral Resources and Energy (DMRE) and those plans are reflected in the latest Integrated Resource Plan (IRP 2019). The shutdown of Komati is in line with the assumptions in the IRP and in fact, the IRP assumed that 4 888 MW of coal stations would already be shut down by the end of 2022.

Eskom is, however, committed to both improving the performance of the Generation fleet and introducing additional capacity, comprising both renewable and low carbon technologies, in order to assist the DMRE in guaranteeing adequate capacity to meet the electricity demands of the nation.

Reply:

(1) (a) The process that was followed in appointing Rand Merchant Bank (RMB) as the transaction advisor was through competitive bidding process carried out by South African Airways (SAA). The Department opted to participate in the contract that had been concluded by another organ of state, in this case SAA.

(1) (b) Minister did not play a role in the appointment of RMB by SAA or the Department.

 

Reply:

No one has been found to be guilty of any misconduct with regards to the proposed sale of shares in SAA. There have been and continue to be, efforts to undermine the saving of the airline and sustain the national flag and brand.

If the negative forces succeed, some 900 jobs will be lost, the assets of the airline will be sold to competitors cheaply, and capacity will be reduced in South Africa and the traveling public will be exploited.

 

Reply:

According to Information Received From Eskom

Eskom is critical to the economy of South Africa, and it is thus imperative that Eskom is enabled to provide consistent and reliable electricity to the country. In order to achieve this, assistance in addressing Eskom’s unsustainable debt is required from the Government and this will be done as committed by the Minister of Finance in his Medium-Term Budget Policy Statement on 26 October 2022.

Secondly, additional capacity is urgently required nationally, not only to address the current shortfall, but also to provide Eskom enough maintenance space to execute essential reliability maintenance and to replace the capacity of its coal units that are to be shut down.

Thirdly, Eskom will improve its operational performance and increase its generation capacity through a number of interventions, including:

• Bringing the remaining two (units) at Kusile online and expediting the return of Medupi unit 4;
• Implementing reliability maintenance through focus on quality, recruitment of experienced staff, and the utilisation of the Original Equipment Manufacturers (OEMs);
• Addressing Eskom debt to enable required investments;
• The use of climate funding to invest in repurposing and repowering of stations to be shut down;
• Coordinated efforts with law enforcement to address sabotage, theft, and fraud at power stations; and
• Focus on six (6) priority stations (Duvha, Kendal, Kusile, Matla, Majuba and Tutuka) where the maximum benefit can be achieved by improved performance.

Fourthly, the Presidential Energy Action Plan was developed to address Eskom generation challenges. The root causes of the current performance are due to late decision by the Government to allow Eskom to build new generation capacity and many years of sub-prudent and efficient cost reflective tariffs which led to over a decade of “running the stations very hard” with less-than-ideal reliability maintenance and mid-life refurbishments.

The “Rescue Plan” of Eskom requires inadequate capacity and inadequate funding as well as availability of the Generation fleet to be addressed.

 

Reply:

1. The Department is working closely with Eskom and other Government Departments as part of the President Action Plan to address electricity crisis in the country. DPE participates In the National Energy Crisis Committee (NECOM) workstreams that aims to improve Energy Availability Factor (EAF) to reduce loadshedding. Department of Mineral Resources and Energy (DMRE) is also part of NECOM, and the creation of the new state-owned power company is still speculative. Minister of DMRE is best placed to respond on the creation of the new state-owned power company.

2. The Minister of Mineral Resources and Energy will be appropriate to respond to the question of comparative analysis of creation of new State-Owned Company.

According to Information Received from Eskom:

3. Context – key insights and lessons learnt

Eskom has, over time, reviewed and reflected on the diverse challenges and key lessons learnt in the up-front conceptualisation, strategic decision-making, planning, and execution of the Eskom new build programme. The following Eskom key lessons and initiatives have been recognised to improve management and delivery in the Eskom new build programme and mega capital and investment projects:

• International benchmark lesson: engineering development of mega projects
• Adequate front-end engineering development (FEED) of mega projects: the approach taken in comparable benchmarked projects shows that investment in FEED reduces execution time, reduces capital expenditure, and increases schedule certainty.
• Key benefits of FEED are the development of comprehensive and complete engineering assumptions that significantly improve scoping, planning, plant designs, project schedule delivery, and execution integration and result in significant reduction in contractor claims and improvement in cost efficiencies through effective commercial, procurement, and tender award processes.
• Timely up-front investment decision-making and securing of project funding
• The decision to embark on the Eskom massive and complex new build programme, with three mega projects (Medupi, Kusile, Ingula) executed at the same time, and the national energy supply crisis of 2008 (that is, the loadshedding situation) led to the hurried executive decision for Eskom to start the construction of Medupi and Kusile power plants, which presented multiple risks, including a capital funding shortfall. The Kusile Project was suspended for several months due to a capital funding shortfall. In addition, some gaps were identified regarding a lack of suitably qualified, skilled, and experienced resources from both Eskom and contractors that were not readily available in the market (locally and internationally).
• At the time of the commencement of these mega projects, Eskom had not executed any projects of this magnitude and scale for decades, hence the lack of skills and experience. The critical skills and experience lacking from both Eskom and contractors included engineering planning and design, contracting and contracts management, commercial and procurement management, programme/project management (scheduling and monitoring), and construction management.

• Furthermore, the choice of the engineering, procurement, and construction (EPC) management multiple contracting strategy versus turnkey in the execution of the Ingula, Medupi, and Kusile Projects, to partly fulfil Eskom’s socio-economic mandate, introduced a project/contract management risk that resulted in ineffective co-ordination/management of the many contracts and contractors. The appointment of experienced and proven global execution partners was intended as a mitigation measure to provide assurance of successful delivery of the projects. Despite the appointment of the execution partners to assist Eskom, the projects experienced significant cost, schedule, and scope overruns. The cumbersome procurement approval processes in Eskom and government were a contributing factor.
• The hurried project development and shortened time spent on front-end engineering loading, with shortcuts taken in design and engineering, led to uncertainty, avoidable design changes, and integration issues, accompanied by significant mega project schedule delays, design defects, and cost escalations. The current major new plant defects are a significant consequence, impacting on the availability and reliability of the commissioned units. This situation, furthermore, led to outstanding licences and approvals that had to be obtained during the execution release approval (ERA) phase, as was the case with land acquisitions, which ultimately had a negative impact on the overall project completion time. Notwithstanding the aforementioned, Eskom managed to deliver the mega projects within the overall range of international benchmark time frames and overnight costs.
• An ineffective contracting strategy and framework, including an insufficient contractual penalties and claims management strategy, contributed to low levels of contractor performance (productivity).
• Ineffective project execution resulted in excessive cost, schedule, and scope overruns in the mega projects due to challenges and inefficiencies in several functional areas: engineering planning and design; project scheduling and controls; commercial and procurement management; contractor management and monitoring; and low levels of performance by execution partners, contractors, and Eskom staff. This inadequate project construction oversight of contractor performance resulted in significant rework (that is, major plant defects).
• Ineffective project governance, oversight, and compliance management resulted in serious non-compliance with Eskom governance processes in the areas of contracts, procurement, commercial, engineering, and National Treasury policies and guidelines, leading to the high incidence of financial irregularities, wasteful expenditure, malfeasance, and corruption.

• Ineffective management of the project statutory and regulatory requirements and risks related to safety, health, the environment, and quality, resulting in delayed project statutory and regulatory approvals (that is, water use licences, permits), with approvals obtained during the ERA phase, and leading to significant disruption and changes to the sequence of the construction schedule.
• Ineffective management of the project industrial relations and social developmental issues resulted in various site worker protests and local-to-site community protests, significantly contributing to project cost and schedule overruns.

Steps to prevent recurrence (Eskom improvement initiatives in the management and delivery of mega projects originating from the referred-to global benchmark and new build programme lessons)

In 2021, based on the key insights and lessons learnt from the disastrous outcomes of the execution of these mega projects, Eskom decided on the Engineering, Procurement and Construction (EPC) lump sum (turnkey) strategy for the execution of any future mega projects. This strategy was chosen to ensure the achievement of the best possible project results (that is, cost, schedule, scope) and to maximise the return on capital investment, while minimising risks to the owner (Eskom).

Eskom, through the EPC turnkey strategy, will outsource the critical front-end engineering development (FEED) scope and project execution and completion scope (construction, commissioning, and handover) to a proven, best-in-class, competent EPC turnkey contractor. The EPC turnkey contractor shall establish a single procurement contract to deliver the project for Eskom.

Key benefits of the EPC turnkey strategy for Eskom: the EPC turnkey contractor will appoint and manage subcontractors, which will address the various risks and challenges that Eskom experienced in the execution of the new build programme, while improving project delivery and improving the security of energy supply of the national grid. It will limit and avoid the reoccurrence of corruption, malfeasance, major plant defects, and reputational damage and improve the return on capital investment for Eskom. Eskom’s responsibility shall be limited to conceptual, basic engineering work as part of the Eskom project development function.

In addition, Eskom has created and implemented a project management system, informed by the high-performance utility model (EHPUM) and project life-cycle model (PLCM), with strong capabilities, processes, systems, and tools. The latter forms the basis for a structured approach to improve the management and delivery of mega capital and investment projects.

Progress on fixing the major defects at Medupi and Kusile

The roll-out of the major boiler plant defect solutions agreed with the contractor in 2020 for Medupi and Kusile has been completed. The results are encouraging, showing an improved average energy availability factor (EAF) of 82% over the six months (excluding Unit 4) at Medupi.

At Medupi, the gas air heater, pulse jet fabric filter (PJFF), and boiler plant modifications by the boiler contractor have been implemented on all six units, except for the long-lead milling modifications on all units and the duct erosion modifications on Unit 6.

The first phase of the roll-out (PJFF, GAH mechanical, mill short-lead items) has been completed for all Medupi units and for Kusile Units 1, 2, 3, and 4.

At Kusile, the major boiler plant modifications have been completed on four units (Units 1 to 4). Modifications on Units 5 and 6 are being rolled out during construction before commercial operation.

 

 

Reply:

According to the information received from SAA:

1. (a) The total monetary value of guarantees issued to SAA was R19.1 billion. As at 30 September 2022, R1.2 billion remain with SAA.

(b) A total of R377 million of government guarantees remain in use.

2. The guarantees were issued as follows:

Financial year	Purpose	R’ Billion
2006/07	Support to restore going concern	1,300
2009/10	Support to restore going concern	1,600
2012/13	Support to restore going concern	5,006
2014/15	Support to restore going concern	6.488
2016/17	Support to restore going concern	4,720
Total		19 114

 

3. (a) All the guarantees have not been withdrawn from SAA as the airline is in the process of replacing the guarantees currently pledged as security for contingent liabilities with its own cash.

(b) All guarantees will be withdrawn as soon as SAA has been able to find alternatives for replacing the guarantees pledged as security

4. SAA intends to settle the outstanding guaranteed obligation by end of March 2023.

 

Remarks: Reply: Approved / Not Approved

Jacky Molisane PJ. Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

According to Information Received from Eskom:

Payment will be processed with the December 2022 payroll and the payment date is 21 December 2022.

 

Remarks: Approved / Not Approved

Jacky Molisane Pravin Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

According to the information received from Transnet

The governance process for wage negotiations at Transnet provides for an internal process led by the Board of Directors. As such, the Minister of Public Enterprises’ role is that of guidance and mediation.

The mandate for the quantum of the increase is given by the Transnet Board of Directors based on recommendations from the Group Executive and Remuneration, Social and Ethics Committees before wage negotiations commence. The Chief of People Management and Learning is then empowered to negotiate with the recognised unions SATAWU and UNTU within the confines of the mandate given.

When industrial action commenced, Minister Gordhan convened daily meetings with the Transnet Board, Group Executive Committee as well as the private sector, which was represented by various industry associations. The purpose of the meetings was to update industry on operations at Transnet.

Honourable Ministers Thoko Didiza, Thulas Nxesi and Pravin Gordhan met with the leadership of SATAWU and UNTU on 12 October 2022. The Ministers used the meeting to engage with union leaders on the demands tabled by their members and to urge that all parties find a solution to the deadlock.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister of Public Enterprises

Date: Date:

 

Reply:

According to Information Received from Eskom:

(i) and (ii)

Generation has a capacity plan. This capacity plan identifies all “off-load” maintenance scheduled for each unit in the fleet. This plan is very detailed for the first year, but also identifies the maintenance space required for the following year. The plan is linked to required budgets as well as the required space on the system to allow the unit to be shut down for the maintenance. Planned maintenance requires a 24-month planning period to ensure that spares and services are available for the outages.

This capacity plan gets revised regularly and updated according to the evolving environment. The challenge with executing this plan is determined by the availability of the timely release of funding, the available space on the system to allow maintenance to occur, as well as the “readiness” of the unit to execute the planned maintenance.

Securing the required funding for planned maintenance has been a challenge for FY2022, FY2023 and FY2024. This results in the late release of funding to sites hence their ability to plan outages is compromised. The uncertainty of funding also affects the amount of maintenance that can be planned. For example, lack of funds requires the prioritisation of safety maintenance while reliability maintenance has to be reduced, which is not ideal.

The compromised planning also impacts the sites’ ability to carry out maintenance in the required time and according to the required schedules, this leads to slips on return dates.

The unpredictability of the current fleet means that unplanned failures take up space on the already constrained system. This then results in the deferment of planned outages. In essence, the current unpredictability of plants compromises the current capacity plan from materialising as intended.

 

 

 

Remarks: Approved / Not Approved

Jacky Molisane Pravin Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

Electricity plays a key role in the economic development of the country. Electricity affects both the rich and the poor communities. Eskom played a critical role and will continue to provide a public good in the form of electricity. It must be emphasized that, the entity provided the good during the time that private sector could not take the risk of providing the public good. The electricity industry has matured hence the private sector is willing to enter the market and provide competition which will bring about efficiencies and improve service provision. The increase in competition in the energy industry necessitated the restructuring of Eskom to enable the entity to efficiently operate in the energy industry. The incorporation of the Transmission Subsidiary will play a key role in the transmission of electricity. Partnerships between the public, and private sectors is needed for provision of electricity. The Department is engaging with Department of Mineral Resources and Energy (DMRE) and National Treasury through the Intergovernmental Steering Committee that provide oversight to Eskom restructuring.

The development finance institutions are critical for financing electrical infrastructure in the country. The private sector has invested heavily on the Eskom transmission network. The embedded generators are allowed to sell the excess electricity to Eskom. The private sector has played an important role in the provision of electricity through the Renewable Energy Independent Power Producer Power Programme bid windows. Eskom is procuring additional capacity from Independent Power Producers (IPPs) to improve maintenance to improve Energy Availability Factor (EAF) to reduce loadshedding in the country.

 

 

Remarks: Approved / Not Approved

Jacky Molisane Pravin Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

According to the information received from Transnet

Normal weekly average volumes for Agriculture and Mining are 12 611 tons and 2 622 737 tons respectively. Over the strike period, the weekly average volumes for Agriculture stood at 10 033 tons, and 1 901 034 tons for Mining.

Third party access by itself is incapable of remedying industry or sector level employee strikes or protests. South African Labour Relations are governed by the Labour Relations Act, Basic Conditions of Employment Act and other related laws, policies and agreements concluded in formal bargaining structures.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister of Public Enterprises

Date: Date:

Reply:

According to Information Received from Eskom:

1. The current location of Medupi Power Station’s North Ash Disposal Facility (ADF) is located at Farm Eenzaamheid 687 LQ which is adjacent to the power station (on the western side). The location was assessed as part of the Environmental Impact Assessment (EIA) studies undertaken in 2005 (DFFE Ref. No. 12/12/20/695) as well as

during additional EIA studies. Medupi Power Station (PS) only has one operational ash disposal facility.

(2)(a) Medupi’s ADF, on the western side of the power station, is in operation. It should be noted that construction and operation of the Medupi PS ADF is done in phases. Currently, Medupi is operating part of the zero for four-year ADF while they are busy with the construction of the remaining phases.

At Medupi PS there is only one ADF and ash arising from the power station is not disposed of at the old dump site as referred. It is assumed that the old dump site referred to is the Matimba PS ADF which is not linked to the operation of Medupi PS, but instead services Matimba PS.

(b) For future ashing requirements, alternative sites will be assessed following an EIA study. Various options are being considered for the future disposal of waste such as ash off-takers, but these are still being developed.

(3)(a) The current ash disposal for Medupi PS triggers waste management activities listed under Government Notice No. 921 dated 2013 as amended. In addition, other applicable legislation includes section 21 of the National Water Act, 1998 as amended. It should be noted that one needs to undertake the EIA studies set out in the Environmental Impact Assessment Regulations under section 24 of the National Environmental Act, 1998 as amended, when applying for a waste management license and/or water use license.

The EIA studies were undertaken, and dust management controls were considered as part of the preparations.

Below please find an update reflecting the current status of Medupi Power Station:

(b) Waste Management Licence No. (12/9/11/L21/0323092918/5/R) and National Dust Control Regulations No. 36974 GOVERNMENT GAZETTE, 1 November 2013 are the main legislations that govern fugitive dust management at the Ash Disposal Facility (ADF). Environmental impact studies were conducted during the EIA phase of the project and a waste management licence is available for the ADF.

Medupi PS has installed and commissioned an Ash Dump Irrigation (ADI) system with sprinklers to suppress the fugitive dust at the ADF. Effluent water from the station’s pollution control dams is used for dust suppression. Water tankers are also used to suppress dust at active areas, including access roads to the ADF.

Medupi PS has established a monitoring network for fugitive dust management to measure the dust fallout in line with the National Dust Control Regulation. Medupi PS fugitive dust fallout is measured against the non-residential limit of 600 < D > 1,200 Dust fall rate (D) (mg/m2/day), 30-day average based on the station’s location.

Long-term plans are under development in terms of rehabilitation of the ADF as the ashing disposal is completed per phase. These will also need to follow environmental approval processes before execution. Currently, the rehabilitation designs for the first phase are completed.

(4) On 16 April 2010, Eskom and the World Bank (WB) concluded a loan facility, with a total WB financing of US$3.75 billion. In the loan agreement, Eskom made a commitment to develop, adopt and thereafter implement a programme to install Flue Gas Desulphurisation (FGD) technology in each of the six power generation units at the Medupi power plant.

Due to delays at Medupi, the World Bank approved Eskom’s request to amend the deadline for the Medupi FGD to 30 June 2027. Eskom is thus currently not in breach of the loan agreements; however, it is unlikely that Eskom will be able to install FGD at all Medupi units by the 2027 deadline. Eskom submits bi-annual progress reports on the Medupi FGD to the World Bank.

 

Remarks: Approved / Not Approved

Jacky Molisane Pravin Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

According to information received from Eskom:

1. The process to procure the boiler maintenance services went through the competitive open tender process and the successful bidders’ contracts started in January 2022. Babcock Ntuthuko was disqualified technically. The two service providers awarded the contract have proven that they have the capacity and capability to render the required scope of work.
2. The procurement of goods by Eskom is done and should always be done in a manner that is equitable, fair, transparent, cost-effective and competitive. It was not a requirement to award the tender to Original Equipment Manufacturers (OEMs), however, Actom and Steinmuller are in fact the OEMs on certain power stations. However, that did not influence the tender evaluation outcome or award.
3. Babcock Ntuthuko’s tender was not accepted due to its failure to meet one of the mandatory technical requirements. The supplier failed to submit the mandatory technical requirements. The supplier failed to submit the mandatory certification of ISO 3834 which was required and mandatory for technical evaluation.

It should be further noted that Eskom is committed to utilising experienced skills when it comes to working on the units, but where bidders in a procurement process do not meet the mandatory requirements, Eskom cannot accept those bids.

 

 

Remarks: Approved / Not Approved

Jacky Molisane Pravin Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

According to the information received from Transnet

(a)(i) Ports

At the onset of the strike, Command Centers were invoked at all operating divisions of Transnet SOC Ltd to ensure that company assets were secured; non-striking employees were protected; and contingency plans were implemented to reduce operational disruptions. While the marine operations of Transnet National Ports Authority were not affected by the strike due to their essential service designation, the Transnet Port Terminal operations were impacted as they do not form part of essential services at the ports. Other measures introduced included the following:

• Employees who were not striking were used as a contingency.
• The Bulk and Breakbulk Terminals were not severely affected. Customer resources were utilised to continue operating in these sectors, together with some employees who were not on strike.
• The Auto Terminals were operating by utilising the existing third-party contracts.

A recovery plan has been implemented and is on track.

(ii)(b) Railroads

The North Corridor does not have a rail line between Durban and Tongaat.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister of Public Enterprises

Date: Date:

Reply:

According to information received from Alexkor:

1. The interim CEO is reviewing all contracts approved by his predecessor, including the appointment of Messina Inc Attorneys. Until such time as all contracts have been reviewed and/or new procurement processes have been initiated, existing contracts have not been terminated provided that the service rendered meets requirements. The reality is that Messina Inc Attorneys represent Alexkor in all pending legal cases and handing over to a new legal service provider would be financially imprudent. Messina Inc Attorneys were appointed after participating in a tender for legal services in 2014. This tender was cancelled. The same tender was readvertised in 2015 and the procurement process was finalized in 2016. A Service Level Agreement was signed with a duration of 3 years terminating on 31 March 2020.

2. The former CEO of Alexkor extended the contract in 2020 for a period of one (1) year, terminating on 1 April 2021 and continued to use the services of Messina Inc Attorneys after this date and on the same terms and conditions as contained in the main service level agreement. This is still the case pending the review of all contracts.

3. The initial appointment of Messina Inc Attorneys was compliant with the Public Finance Management Act and Treasury Regulations.

Remarks: Approved / Not Approved

Jacky Molisane Pravin Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

According to the information from Denel

(a) Rheinmetall Denel Munition RF Pty. Ltd (RDM) is a joint venture between the German Rheinmetall Waffe Munition GmbH (51%) and the South African State-Owned Company, Denel. The JV was completed in 2008. RDM is producing and selling ammunition of various calibres. RDM employs a total of 2,500 people across its four sites (2 in Western Cape, 1 in Gauteng and 1 in North West) and conducts business with more than 1,500 suppliers in South Africa. Over 90% of RDM’s turnover is generated from international clients, especially in the Middle East / Northern Africa (MENA), Asian and Europe. RDM’s dependency on international clients underlines its dependency of the timely approval of contracting and export permits from the South African National Conventional Arms Control Committee (NCACC).

(b) RDM operates in a sensitive defence/military environment. Customers insist on tight non-disclosure requirements as part of contractual obligations. All other mandatory regulatory disclosures related to contracting for export and import of controlled items are made to the NCACC.

(i) Since the inception of the Joint Venture in 2008, the company invested R1.5 billion in the development of new technologies, R1.0 billion in infrastructure and facilities as well as more over R500 million in social responsibility, skills development, and supplier development.

(ii) RDM’s goal is to be carbon neutral by 2035. In this regard, RDM is in the process of constructing the first solar PV farm at the Somerset West site and the same model will be replicated across all RDM sites in South Africa.

RDM has started to endeavour in technology developments in the field of alternative green energy solutions, specifically solar and green hydrogen. On green hydrogen, RDM has developed several applications and wants to position itself as a partner for hydrogen supply globally. RDM is also developing solutions for fixed and mobile hydrogen power, and storage solutions for industrial use. RDM unveiled its green hydrogen plans at the 2022 Africa Aerospace and Defence exhibition.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date

Reply:

According to information received from Alexkor:

a) The former CEO appointed Messina Inc Attorneys to render company secretarial services on a month to month basis with effect from 1 October 2020. The certain Person is a Director and a representative of Messina Inc Attorneys and is responsible for rendering the company secretarial services.

b) There was no position advertised.

c) There were no interviews.

d) There was no job advertised and the certain person is a representative of Messina Inc Attorneys being the entity appointed as Company Secretary. I am informed that the certain person carries out his duties diligently. The certain person is not deployed through cadre deployment machinations of the ANCs deployment committee or any political party’s cadre deployment.

e) The certain person is not an employee of Alexkor.

 

Remarks: Approved / Not Approved

Jacky Molisane Pravin Gordhan, MP

Acting Director-General Minister

Date: Date:

Reply:

According to information received from ALEXKOR

1. Alexkor has a Social and Labour Plan (SLP). This is a requirement from the Mineral and Petroleum Resources Development Act 28 of 2002. The SLP projects are reported on in Quarterly Reports and Integrated Annual Reports.
2. The PSJV Board appointed a certain person with effect from 1 August 2021 on a 5-year fixed term contract. This person was a former employee and met the requirements of the post. He was head hunted as the position needed to be filled immediately as an Operations Manager is a requirement of Section 3(1)(a) of the Mine Health and Safety Act 29 of 1996.
3. This person was appointed to a critical position and resigned for personal reasons 5 years prior to a certain persons suspension and not shortly before he was suspended.
4. The specified person (referred to 3(b)) is the brother in-law of the person (referred to 2(a)).
5. The PSJV financial position is precarious and Mr T Fowler was interviewed by the PSJV Board and appointed as the interim CEO of the PSJV, in addition to serving as the interim CEO of Alexkor. There is no additional remuneration for the additional position.

 

Reply:

According to information received from ALEXKOR

1. The SIU is still busy with its investigation. However, an interim briefing did not implicate officials employed by Alexkor nor the PSJV. Should the final report implicate any official appropriate action will be taken.
2. Security at the mine has been increased and a special unit has been appointed to maintain safety and prevent illegal activity.
3. An initiative through the Departments of Mineral Resource and Energy is in progress. Three local women have been identified and areas of work identified to accommodate them.

 

Reply:

According to the information received from Transnet

(a) (i)(ii) and (b)

The planning phase of the port and Rail development has shown that there exists a potential of 13 000 jobs that will be required for the port construction. Transnet’s short-term goal is to prioritize the training, development, and skilling of the local community from Richtersveld.

Reply:

According to the information received from Transnet

This question does not apply to TNPA (Transnet National Ports Authority) and should be redirected to the Northern Cape Provincial Government.

Reply:

According to information received from ALEXKOR

1. The contract was signed on or about 09 September 2011.
2. There was a rigorous tender process (based on stringent criteria) which was preceded by consultation with the Richtersveld community in early 2010, as indicated in the annual report of 2011. The procurement process was compliant with the PFMA and Treasury Regulations and there were no findings by the external auditors Price Waterhouse Coopers Inc.
3. The contract was signed by the CEO at the time, Ms Khetiwe McClain on 09 Septemeber 2011. No end date is specified on the contract and this is currently being reviewed. The contract is with Alexkor SOC Limited for the benefit of the Pooling and Sharing Joint Venture.

 

Reply:

According to the information received from Transnet

The matter is being handled by the eThekwini Metropolitan Municipality as it is their sewer pump that has failed. TNPA is the affected party in this case. It is recommended that the question be referred to the Department of Cooperative Governance and Traditional Affairs (COGTA) as they are the responsible ministry in this instance. 

Reply:

According to the information received from Eskom:

1. The supply requirements for the water infrastructure from Spioenkop dam to the raw water pump station is dedicated infrastructure for the sole use of Uthukela District Municipality, as such all cost needs to be recovered from the customer. Eskom does not carry the cost for dedicated infrastructure.
2. Eskom submitted a cost estimate fee in March 2017 to Uthukela District Municipality, and there was no response to the letter.
3. Scope of Works: To make the supply available, it was necessary to do the following work:

• Remove the existing 10MVA transformer and replace it with a 20MVA transformer at Spioenkop substation and upgrade the protection from 3TM to 4TM (add diff protection).
• Establish a new 22kV feeder bay at Spioenkop substation and build a foundation and all necessary civil works.
• Build approximately 5 km of 22kV Hare conductor from the proposed feeder bay at Spioenkop substation to the proposed water treatment works plant.
• Build approximately 2 km of 22kV Hare conductor from the proposed water treatment works to the proposed Command reservoir site and install a 50kVA transformer at the Command reservoir.
• Build approximately 10 km of 22kV Hare conductor from the Command reservoir site to a raw water pump station.
• Install a meter at all three points of supply.

NOTE:

On acceptance of the cost estimate fee and payment of the quotation fee below, Eskom will provide a budget quote. The Distribution standard connection charge is payable upfront before construction.

(b)(i) Full Cost:

The estimated charges are as follows, in 2017 Rand values:

Charge	Estimated value
Distribution Standard Connection Charge	R 15 456 473.36 + VAT = R 17 620 379.63
Quotation Fee	R 661 424.50
Security Deposit	R 2 549 000.00

(b)(ii) Completion is estimated from 12 to 24 months depending on long lead time materials.

Reply:

According to information received from Alexkor

1. The person concerned has declared that he has private businesses which are dormant.
2. He has completed the declaration of interest forms which indicate there is no conflict of interest since the companies are dormant.

 

 

Reply:

According to information received from Alexkor

1. The person resigned for personal reasons.

(2)(a) The information at my disposal is that the person (Company Secretary) accompanied the Board and the CPA representatives on a sales and marketing business trip to India (via Dubai). The purported objective of the trip was to meet with the leading diamond cutting and polishing companies in Surat and lobby them to set up diamond cutting and polishing units in the Northern Cape, as well as to meet with jewelers in Jaipur and lobby them to set up operations in South African and especially in the Northern Cape.

(b) The names of the community members who were on the trip are:

• Mr Willem Vries (Sanddrif, Richtersveld);
• Mr Dennis Farmer (Eksteenfontein, Richtersveld);
• Mr Brian Koopman (Lekkersing, Richtersveld); and
• Mr Ryno Thomas (Kuboes, Richtersveld).

(c) The trip was approved by the former Minister of Public Enterprises and was paid for by the Alexkor RMC Joint Venture.

 

Reply:

After a review of the previous Eskom Board, the Minister announced the appointment of a new Board with a full complement of 15 directors, with effect from 1 October 2022, for a three-year term, subject to annual review. The new Board includes 13 new Non-executive Directors and two existing Executive Directors, namely the CEO and CFO.

In line with proper corporate governance, the performance management of the executive directors falls within the purview of the Board.

Reply:

According to the information received from SAA

The International Air Services Licensing Council has not revoked the licenses of South African Airways (SAA). SAA made representation to the International Air Services Licensing Council (The Council) on its current route allocation and the decision by the Council to review some of the frequencies on the routes that the airline is currently not serving.

SAA continues to ramp up its operations by bringing in additional equipment into the fleet. The airline assures members that the airline is not losing its route rights. SAA continues to operate its current network and schedule with 6 regional and 2 domestic destinations. Currently, the airline has deployed additional capacity on the Cape Town route to meet demand and we have increased the aircraft size on the Harare route.

There is no doubt that SAA still retains a high brand equity and customer loyalty, demonstrated by successful re-entry to regional and domestic markets, with positive occupancy rates.

Reply:

a) The total funding requirement is R5.2billion, Denel will be raising R1.8billion from disposal of non-core assets with over R900million already received in August 2022. Below is a breakdown of items the funds will be used for: 

1. Funding to stabilise business (R977million)
2. Funding for Growth and Sustainability (R900million)
3. Current and Legacy obligations (R3326million)

b) The Department has applied and supported Denel’s funding request through the 2022 MTBPS and 2023 MTEF process. With regards to proceeds from non-core disposals, the Department is in constant communication with Denel on the progress made in order to fast-track the necessary PFMA approvals by the Minister.

Reply:

According to the information received from Transnet

(1)

a) (i) - (ii) The land that was identified and chosen for the development of the liquid bulk facility is Erf 312 in Zone 5 of the Coega SEZ, approximately 13 hectares.

b) Transnet National Ports Authority (TNPA) has earmarked 20 hectares of land within the Port of Ngqura for the development of the liquid bulk facility.

c) TNPA has not purchased any piece of land outside the designated port limits of the Port of Ngqura for the development of the liquid bulk facility.

d) TNPA envisages completion and commissioning of the Port of Ngqura Liquid Bulk site by December 2026.

(2)

The Ports Regulator (PRSA) issued its record of decision (ROD) in respect of the appeal on 26 April 2022, in which it set aside TNPA’s decision to terminate the leases of Astron & Others and found that their lease had not been terminated by effluxion of time on 30 April 2022. TNPA advised the Oil Industry (Astron, Engen and Total) on 19 May 2022, that operations may continue as per the terms and conditions of the lease agreement and supplementary agreement.

(3)

The appeal process has not affected the commissioning of the site at the Port of Ngqura as the date of December 2026 was always an indicative date communicated to the stakeholders.

Reply:

The Zondo Commission recommends the establishment of a standing Appointment and Oversight Committee tasked to ensure, by way of a public hearing, that any person nominated for Board appointment or as the Chief Executive Officer, Chief Financial Officer, or Chief Procurement Officer of an SOE meets the professional, reputational and eligibility requirements for such a position. The Committee must also investigate and act upon any complaints received concerning the misconduct of any Board member or senior executive in the discharge of his or her duties.

Currently, the DPSA Guide on the Appointment of Persons to Boards of State and State-controlled Institutions is in place and is under review. Government will collectively deliberate on how the Guide can be enhanced to incorporate the recommendations of the Commission.

As a long-term intervention the SOE Bill and its regulations will codify the appointment process so that the principles and process become legally binding and those sanctions for non-compliance are put in place.

Reply:

According to the information received from Denel

Denel has not sold any of the above-mentioned products and materials to Russia.

 

Reply:

According to the information received from Alexkor

1. There is no record of any illegal miners being provided with any permits during the tenure of a certain person (name and details furnished) of Alexkor and the PSJV;
2. There is no record of any agreements entered into by the Alexkor RMC PSJV with any illegal miners and illegal mining is not permitted.
3. There is no record of any agreement with illegal miners as alluded to the above;
4. There is no record of any agreement with illegal miners as alluded to the above; and
5. The person in question (name and details furnished) resigned from Alexkor and was not transferred to African Exploration Mining and Finance Corporation. The terms and conditions of his employment at African Exploration Mining and Finance Corporation are not known by the Minister and Alexkor remains a state-owned entity falling under the Department of Public Enterprises. Further details of the current status of thee individual can be obtained from the MINISTRY OF MINERAL RESOURCES AND ENERGY.

Reply:

(1)(a)(i) None

(ii) None

(iii) Not applicable

(b) Not applicable

(2) Yes. The employees have had the option of vaccination, and in addition, the COVID infection rate has dropped. However, the virus is still “present”. So, with appropriate precautions, the public service has to be back at work and make every effort to increase the productivity within the department.

Reply:

According to the information received from Eskom:

a) Mr. de Ruyter qualifies for the normal remuneration and fringe benefits associated with his position as Group Chief Executive, and as per his public profile which demonstrates a heightened threat level in the recent past. In the financial year ended March 2022, the security costs incurred for Mr. de Ruyter were R46 490.00.

b) Eskom pays the cost and the employee, Mr. de Ruyter, is personally liable for the tax on the invoice of the security costs.

Reply:

According to the information received from SAA

a) (i) & (ii)

The matters raised in the letter by Air Service Licensing Council (ASLC) are being addressed by SAA and will be provided to the ASLC within or before the 90-day period as prescribed.

Some of the issues are administrative in nature, relating to SAA’s interaction with the Air Service Licensing Council (ASLC), the submission of financial statements and internal staff movements. With regards to the Takatso deal, this is being negotiated by Government, as the shareholder.

The questions raised in the letter do not impact on SAA’s current and future operations as well as the quality of the services provided by SAA. To that end, both local and regional services are continuing uninterrupted.

b) SAA has set itself an internal deadline of less than 60 days to respond from the date of the letter from ASLC.

 

Reply:

According to the information received from Denel:

1. a.

(i) accommodation	(ii) travel	(iii) entertainment
R3 818 260	R4 813 537	R542 893 (Clients)

b.

2018-2019	2019-2020	2020-2021	2021-2022	2022-2023
R35m	R53m	R33m	R20m	R12m

2.

2018-2019	2019-2020	2020-2021	2021-2022	2022-2023
R1 850m	R1 590m	R770m	R589m	To be finalised

3.

Denel does not currently have any active contracts from the Russian Federation in its order book.

Reply:

Serious consideration is being given to the recommendations of the Zondo Commission and other similar options to introduce as much objectivity and transparency as is possible in specific contexts. For example, the Presidential SOE Commission has recommended the establishment of a “Holding Company” for strategic SOEs, based on research into experiences of other countries.

The President is scheduled to present a consolidated plan (in October 2022) setting government’s response to the state capture report; and the progress registered to date in implementing the recommendations.  The department submitted progress updates to the Presidency and this will form part of the President’ submission to Parliament.

Reply:

According to the information received from Alexkor

1. When PSJV Board cancelled the SSI contract, it was agreed that Alexkor will take over the selling and marketing of the PSJV diamonds, because Alexkor at the time had a diamond dealers license and former Chief Executive Officer was the authorised representative of the license. The PSJV diamonds were sold at the Diamond Evaluation and Export Centre (DEEC) on open tender in terms of the license. With the resignation of the Chief Executive Officer, Alexkor had no authorised representative to sell the diamonds and the diamonds are now sold by the PSJV under the producers license. The sales and marketing of the diamonds are now performed by the PSJV.

2. The total sales since the cancellation of the SSI contract are as follows:

Number of diamond sales: 11

Total carats sold: 51, 055

Dollar Value: USD $ 59 294 713,00

ZAR Value: R913 310 725,57

Reply:

According to the information received from Alexkor

1. (a) The person concerned resigned after accepting a job offer elsewhere; (b) The SIU report has not been completed and the Gobodo Forensic Service Report does not implicate the previous Chief Executive Officer of Alexkor;(c) No charges were filed against him as there were no recommendations to take such actions in the Gobodo Forensic Services Report; and (d) No hearing is scheduled yet.

2. The Hon Member should clarify what report is being referred to as the SIU report has not been completed and the Gobodo Forensic Service report does not implicate the person in question.

Reply:

According to the information received from Transnet

Transnet Freight Rail (TFR) has ramped up maintenance on the North Corridor to daily maintenance (with up to 26 planned maintenance occupations daily). Major maintenance activities were conducted during the annual shutdown that took place in July this year. Given the increased focus on maintenance on the corridor, TFR lifted 16 temporary speed restrictions (TSR) on the main line; 2 prior to the annual shutdown and 14 during the annual shut. Some 36km of rail and 20 000 sleepers were replaced during the shutdown to improve the reliability of the network and reduce the probability of derailments.

A significant amount of work has been undertaken internally to improve procurement timeframes for key contracts that have been the significant cause for delays in the past.

The finalization of major bulk materials and on-track machine contracts (allowing Transnet to assess and restore the line) has led to faster and more efficient resolution of historical maintenance and new maintenance issues as they arise.

Transnet will shortly commence with a process to acquire new locomotives to address the shortage of rolling stock and improve volumes and associated revenue for the business. The company and CRRC E-Loco (Pty) Ltd (“E-loco”) have reached an in-principal agreement towards the resolution of all current legal disputes between the two companies. This will allow TFR to access spare parts and components needed to bring back to service 53 Class 20E and 67 Class 21E locomotives, which have been standing idle as a result of the inability to access the required spares and components. Furthermore, this agreement enables TFR to continue procuring new locomotives from E-Loco.

To curb cable theft, which reached 1560km in 21/22, TFR is a member of the recently established Essential Infrastructure Task Unit by the Police Commissioner within all provinces. Freight Rail also chairs the Infrastructure Crime Forum (ICF) which is a forum that enables collaboration with other SOCs, and other industries impacted by theft of ferrous and non-ferrous metals. In addition, TFR has established multidisciplinary joint operation initiatives with law enforcement agencies (SAPS) to address the rising crime.

Transnet security officers have been granted peace officer status. As such, they will be entitled to; search premises, facilities, and persons; effect arrests; complete dockets to ensure suspects are correctly charged; assist with basic investigations; assist with prosecutions and act as visible deterrents in areas of responsibility. This initiative will lead to an improved security response and increased law enforcement to protect the economically essential railway infrastructure and equipment.

TFR has also established customer partnerships where Coal Customers have provided 89 additional Task teams and 35 Drones for the coal line. The security initiatives have resulted in a decrease in security incidents on the export coal line.

 

Reply:

1. (a) There have been a number of studies within government over time to determine how SOEs should be governed, and on other matters such as which SOEs are required in current context, and which are not. The President established the Presidential SOE Council (PSEC) to advise him on these and related matters. Based on a review of global experience and work done within the Department, the PSEC recommended the centralised shareholder model, which is reflected in the holding company (Holdco) proposal. A policy paper, draft legislation and other legal documents have been in preparation. Once the governance process has been concluded, other formal processes will be pursued.

(b) It is proposed that the Holdco will be governed by an independent board that will be acting in the fiduciary interests of the company. However, the commercial and development mandates of Holdco will be set by government. Similarly, it is anticipated that Holdco will ensure that the governance of SOEs is carried out in a transparent and accountable manner, with a high degree of professionalism and effectiveness.

2. While evidence of state capture has recently been confirmed concerning the affairs of some but not all SOEs, the development of the shareholder management bill is based on the intent of building a capable state through among others, the adoption of globally recognised practices in managing all SOEs owned by the government of the Republic of South Africa. The work that informs the establishment of the Holding Company predates state capture and is meant to among others, insulate SOEs from undue influence based on insights derived from global best practices.

Reply:

According to the information received from Denel

1. Out of the 42 current and former employees who won the case in May 2022, three (3) of them had already been paid by the time the Court Order was issued and they failed to inform their attorneys.
2. The amount owed to the remaining 39 claimants differ from person to person (due to some having received part-payment from the date of the Court Order to date), and to that end, Denel has been in discussions with the attorneys representing the claimants with a view to reconcile the records and agree on the legitimate amounts owed to each individual.
3. Part of our discussions with the attorneys includes agreeing on a date by which the amounts can be paid, in view of Denel’s ongoing liquidity challenges.

Reply:

 (a)

The Minister gives strategic direction to the entity through the Strategic Intent Statement (SIS).  Regulation29.1 of Treasury Regulations, read with section 52 of the Public Finance Management Act (PFMA) requires the entity to develop a Corporate Plan that covers three years and must include, inter alia, strategic objectives and outcomes identified and agreed on by the executive authority (the Minister of Public Enterprises) in the shareholder’s compact. The Shareholder’s Compact (SHC) is a negotiated performance agreement between the Shareholder and the Board.

​The Corporate Plan (which provides a perspective on Eskom’s strategy execution trajectory), drives the delivery of the approved SHC, directing the relevant business areas to deliver the KPI targets that have been compacted on. 

The Corporate Plan is reviewed annually to factor in the SHC decreed KPI targets and to ensure that Eskom’s strategy execution is realigned to the prevailing operating realities. The Corporate Plan was taken through the appropriate Eskom governance process (Exco/Board) for approval and was submitted to the Ministers of Public Enterprises and Finance on 31 March 2022, in accordance with Treasury Regulations 29.1.3.

(b)(i) (ii) 

Some of the information is deemed commercially sensitive, including industry analysis (including suppliers and customers bargaining power over the company and comparisons, benchmarking, competitive advantages, and corporate calendars). The SHC and the Corporate Plan are therefore largely company confidential internal documents. The Corporate Plan, in presentation format, can be shared with external parties, including Parliament, funders, rating agencies and other Government Departments. Given the disclosure of sensitive information that could have a negative impact on the entity, and undertaking to share information with Parliament, I will direct Eskom to share a redacted copy of the Shareholder Compact within the next month. 

Reply:

The Ministry does not get involved in labour relations matters at the company level. The company has a Board and an Executive Team that is fully mandated to attend to such matters. The operational matters fall within the ambit of the Executive Team.