Parliament must launch full-scale inquiry into Eskom

The return of Brian Molefe to Eskom is a monumental disaster for the power utility, which is currently in a dire state of affairs and is surrounded by a swirling cloud of Gupta-linked corruption allegations as a result of Molefe’s tenure.
As such, the DA will write to the Chair of Chairs, Cederic Frolick, to ask that the Public Enterprises committee launch a full-scale parliamentary inquiry into Eskom.
The return of Molefe to Eskom will see the Gupta hand return to the power utility, and most likely to the forthcoming nuclear procurement deal. This is something which South Africa cannot accept.
It was clear in the Public Protector’s damning State of Capture Report that Molefe was seriously compromised in his position at Eskom. He, himself, on leaving Eskom cited the interests of corporate good governance as requiring him to leave.
The State of Capture Report details the close relationship between Molefe and the Guptas and how key decisions were taken by Molefe, as the head of Eskom, for the ultimate benefit of the Gupta’s and at the expense of the people of South Africa. Specifically, Molefe called Ajay Gupta a total of 44 times and Ajay Gupta called Molefe a total of 14 times in 8 months. Molefe can further be placed in the Saxonwold area on 19 occasions between August 2015 and November 2015.
Importantly, the criminal charges that I laid against Molefe still stand and I trust are being actively investigated by the South African Police Service.
More than this, Eskom faces enormous challenges in its entirety which now need to be investigated through a Parliamentary enquiry. Most notably:

  • The Progressive Professionals Forum (Mzwanele ‘Jimmy’ Manyi CM (SA)) received a staggering R440 000 in “sponsorships” from Eskom under Molefe’s watch;
  • R1 billion worth of contracts are being investigated which were allegedly awarded by current Eskom Acting CEO Matshela Koko to Impulse International, a company of which his step-daughter is a Director;
  • Eskom has continued to resist the signing of contracts with IPPs even though government has instructed it to do so;
  • Eskom bosses received R18.3 million in short and long-term performance bonuses in 2016;
  • The entire Tegeta scandal.

The ANC have themselves come out and said that Molefe is unfit to return to Eskom as his name has not been cleared – ironic though this is given that he was just yesterday on their own Parliamentary back benches.
South Africa deserves to know the truth behind the many scandals currently engulfing Eskom. It is imperative that Parliament conducts an inquiry as a matter of urgency to ensure that those who are responsible for abuses are held to account – not least, Brian Molefe.
Our lawyers have also been instructed to investigate every angle possible to review this ridiculous and irrational decision.
Our public power utility deserves better than Saxonwold-captured individuals at its helm.

Molefe Payout: Eskom board's new proposal to Brown must be R0.00

The DA welcomes Public Enterprises Minister Lynn Brown’s rejection of an exorbitant and unjustified R30 million golden handshake “pension” payout to the disgraced Brian Molefe.
Indeed, after leaving Eskom under the most swirling clouds of state capture allegations, and close collusion with the Guptas, and then being rewarded with an ANC seat as a member of parliament, Mr. Molefe does not deserve one further Rand from the public purse.
The DA calls upon the Eskom board to revert to Minister Brown with a new proposal for Brian Molefe’s golden handshake to be R0.00
Saving over R30 million at Eskom would be a boost to the finances of the utility, at a much-needed time.
Eskom continues to be embroiled in a sequence of very alarming scandals, and a full clean up of the entity is needed. We hope that Minister Brown will use the new backbone she has found to reject Molefe’s massive payout, to take actions against other wrongdoing at Eskom too.
She must immediately release the full Denton Report, and sack those who are corrupting Eskom. Minister Brown would also do well to take a stand against the nepotism scandal between Eskom acting CEO Matshela Koko, his stepdaughter, and the shocking payment of R1,7 million directly to the ANC as a “donation.”
Brian Molefe does not deserve anything further from Eskom, and it is high time the Minister got management and leadership at the utility in order.

DA to submit PAIA application for Molefe’s employment contract

The DA will today submit an application in terms of the Promotion of Access to Information Act (PAIA) to gain access to the employment contract of former Eskom CEO Brian Molefe, for his 18-month tenure at the helm of Eskom.
The DA believes that the exorbitant R30 million Molefe received from Eskom may not have been a pension pay-out as he claims, but rather a golden handshake.
As CEO of Eskom, Molefe’s salary was close to R7 million per annum. According to Eskom’s website, total pension contributions amount to 20.8% of a salary. Therefore, Molefe should have received an estimated R2.2 million maximum as a pension pay-out for 18 months of work, instead of the reported R30 million.
If there is nothing irregular about this so-called pension payment, neither Eskom nor Molefe will have any issue with making his contract public.
It is unacceptable that Molefe received such a large pay-out, considering that he willingly resigned as CEO of Eskom after he was named in the former Public Protector, Advocate Thuli Madonsela’s, State of Capture Report.
The DA has already written to the Public Protector, Advocate Busisiwe Mkhwebane, to request that she investigate this R30 million golden handshake and the basis for this pay-out.
This R30 million is nowhere near the R2.2 million he is entitled to, and should the Public Protector find that this pay-out was irregular, Molefe must pay back the money immediately.
In a country where millions of people struggle to put food on the table on a daily basis and infrastructure projects collect dust on shelves, the DA will not condone millions to be wasted on underperforming former executives. Public money should be spent on improving the lives of all South Africans, not just the connected few.