Eskom’s reputation torn to shreds, Brown tells NCOP
Lynne Brown says the government must confront and overcome the allegations so that in time, credit rating agencies will reverse downgrades.
CAPE TOWN - Public Enterprises Minister Lynne Brown says allegations of corruption and state capture are ruining the reputation of some state-owned enterprises.
She's told the National Council of Provinces Eskom's reputation has been "torn to shreds".
Brown says government must confront and overcome the allegations so that in time, credit rating agencies will reverse downgrades.
The days of load shedding are over. Eskom's only used R200 billion of its government guarantee. The building programme is ahead of schedule and it's making do with only a 2.2% tariff hike this year.
But Minister Brown says the financial turnaround of Eskom is being lost to the discourse of state capture.
Her department is to draw up terms of reference for a broad inquiry into affairs at Eskom dating back to 2007.
“It is imperative that the fog of allegations of corruption that have enveloped some of the state-owned companies over the past year are lifted through a definitive investigation followed by appropriate legal processes if required.”
Brown says other state-owned companies will take heart from a judicial commission of inquiry and an investigation by the Hawks, into state capture.