Commission finds Eskom failed to comply with BBBEE Act
The Broad-Based Black Economic Empowerment (BBBEE) Commission has found that State-owned Eskom failed to comply with the BBBEE Act in awarding a tender for the Duvha power station to a Chinese-owned entity.
The tender was awarded to Dongfang Electric Corporation, an entity with 0% black ownership, when the tender specified Level 4 BBBEE compliance, the commission said in a statement on Wednesday.
As a result, the commission has recommended that Eskom cancel the contract and conduct an independent audit of all contracts above R1-billion awarded from 2014 in order to check their compliance with BBBEE requirements.
In an emailed response to questions posed by Engineering News Online, Eskom confirmed that it was in receipt of the report issued by the commission.
The entity added that it was in the process of considering all of the findings and recommendations contained in the report with a view to ensuring that Eskom complies with all its obligations in terms of applicable law.
The findings follow after the commission received an anonymous complaint alleging that the tender process for the boiler at the Duvha power station by Eskom did not comply with the requirements of the BBBEE Act.
The commission has since referred the findings in the matter to Public Enterprises Minister Pravin Gordhan and the National Treasury director-general Dondo Mogajane for further consideration in line with the recommendations.
Comments
The
functionality
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation