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The Portfolio Committee on Energy on Tuesday welcomed the resignation of PetroSA chairperson Nonhlanhla Jiyane, but maintained that the entire PetroSA board should resign and be reconstituted, following months of financial mismanagement.
Jiyane’s resignation had followed media reports that the national oil company had recorded a R14.9-billion loss for the 2014 financial year.
The board had, earlier this year, suspended PetroSA CEO Nosizwe Nokwe Macamo and CFO Lindiwe Bakoro.
“PetroSA is facing serious corporate, financial and governance issues. We, therefore, welcome the resignation of the chairperson. [The reshuffle is needed] to rescue the State oil company, committee chairperson Fikile Majola said.
He urged Energy Minister Tina Joemat-Pettersson to take urgent action to save PetroSA.
“The entity has a turnaround strategy which needs to be implemented so as to overhaul the current situation that PetroSA is faced with.”
Last month, the committee met with PetroSA and expressed concerns that the entity was on the verge of collapse. In the engagement with the entity, the committee expressed its view that it had lost confidence in the entire board of the parastatal.