Eskom to provide details on controversial coal contract with Tegeta
Earlier this month, National Treasury told Scopa the Gupta-owned company was awarded a R3,7 billion deal despite indications the mine was not up to the job.
CAPE TOWN - Eskom will appear before Parliament’s Standing Committee on Public Accounts (Scopa) on Tuesday, to discuss compliance issues in its controversial coal contract with Tegeta mine.
Public Enterprises Minister Lynne Brown is also expected to be present.
Earlier this month, National Treasury told Scopa that the Gupta-owned company was awarded a R3,7 billion deal despite indications that the mine was not up to the job.
A 2015 PriceWaterhouseCoopers report revealed a host of irregularities in Eskom’s coal contracts with Tegeta.
This includes that its Brakfontein colliery in Delmas, Mpumalanga was not up to the task of supplying coal and that a health and safety evaluation was only conducted eight days after the contract was signed.
Scopa chairperson Themba Godi says the committee’s main concern is compliance.
“That’s the area of focus that we will be dealing with. It has nothing to do with many of the other issues that are there in Eskom.”
At its last meeting, Scopa questioned the exact value of the coal contracts and said it wanted Eskom to provide it with the details.
(Edited by Shimoney Regter)