ANC CAUCUS CONDEMNS FRAUD AND CORRUPTION AT ESKOM

14 February 2025

The ANC Parliamentary Caucus expresses its strongest condemnation of the rampant fraud and corruption uncovered at Eskom, as detailed in the Special Investigating Unit (SIU) report presented to SCOPA on Wednesday, 12 February 2025. The revelations of systemic manipulation of procurement processes, after—hours transactions designed to evade oversight, and the staggering scale of financial impropriety are deeply disturbing and unacceptable. More disturbing is that this malfeasance is committed by frontline employees, senior managers including their family members, making it a sophisticated network of milking the state utility.

The SIU’s findings expose a shocking betrayal of the South African public, with Eskom employees deliberately abusing their positions for personal gain. The theft of over R1 billion, through a scheme of splitting contracts to avoid oversight, demonstrates a brazen disregard for accountability and ethical behaviour. The sheer scale of the problem is further amplified by the revelation of 334 employees with financial links to vendors and the failure of 5,464 employees to declare conflicts of interest.

Over the past few years, the ANC government has focused its attention on Eskom to improve its financials and stabilise governance. This attention has already shown results which led to 300 days of no—load shedding recently. For this, we commend and appreciate the good work done by the President Cyril Ramaphosa and our Minister of Energy and Electricity, comrade Kgosientsho Ramokgopa and his team for their resilient efforts towards accelerating energy security for all. However, as the ANC Caucus, we believe that this progress must be balanced with the urgent need to address the high cost—of—living and ensure a Just Energy Transition that benefits all South Africans. Furthermore, we demand that this transition must prioritize affordability, particularly the high cost of electricity, and ensure that the benefits of a cleaner energy future are shared equitably, leaving no vulnerable community behind.

We further wish to commend the SIU for its diligent work in uncovering these unlawful activities. What the SIU has uncovered proves that our efforts of not only dealing with corruption but exposing it are working and yielding results. We urge the SIU and other relevant law enforcement agencies to pursue these matters vigorously and ensure that all those responsible for these acts of fraud and corruption are brought to justice swiftly and that the funds looted be recovered. Furthermore, the ANC Caucus calls for the following measures be implemented swiftly:

  • Eskom must work closely with the Public Procurement Office in the National Treasury to modernise their procurement practices in line with the Procurement Bill.
  • Eskom must develop internal mechanisms and frameworks for monitoring and oversight.

The work done by the ANC government on Eskom and the results it has yielded must be protected. The implementation of the Energy Action Plan and the growth of the South African economy is largely dependent on the government’s ability to conduct its affairs with discipline and professionalism that protects the integrity of the state. The ANC’s 2024 Manifesto promised to “Put South Africa to work” and “Build Industries for an Inclusive Economy”. Eskom and the supply of energy is critical. We must not allow ourselves to be derailed by greed.

We commend the work done by the SIU and the members of parliament for their efforts in exposing corruption and protecting the power utility from greedy individuals.

The ANC caucus remains committed to serving the public and holding all powers accountable to the people.

Issued by the Whip of the Study Group on the Standing Committee on Public Accounts, Cde Gijimani Skosana, MP

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