Lack of ministerial approval for locomotive price change an oversight - Molefe
Former Transnet CEO Brian Molefe said that it was an oversight on his part that ministerial approval was not obtained for increasing the price of the 1,064 locomotives because he was human.
JOHANNESBURG - Former Transnet CEO Brian Molefe said that it was an oversight on his part that ministerial approval was not obtained for increasing the price of the 1,064 locomotives because he was human.
Molefe was continuing with his testimony at the state capture commission on the acquisition of the locomotives.
The former CEO maintained that the initial price of the locomotives included hedging and escalation but when bids were submitted, the market showed Transnet the real price.
He said that the R49 billion price that was put on the 1,064 locomotives came from bidders in the market and that the initial price of R38 billion was a desktop estimate.
Molefe said he took responsibility for non-compliance on the increase.
"I submit it was not done intentionally or out of malice," said Molefe.
"We are talking about billions of rands. How does one forget to get ministerial approval or to ensure that this regulatory compliance?" questioned state capture inquiry evidence leader Advocate Anton Myburgh.
Molefe responded by saying that he was human.
The former Transnet boss said that he couldn’t remember if it was him or the board chairperson who signed the final approval.
WATCH LIVE: Molefe back at state capture commission