Workers strike at Medupi and Kusile power stations.
Four years ago, Hitachi Power Africa, which counts the ANC's Chancellor's House and Makotulo Investments & Services as its black empowerment partners won a whopping R38.5 billion tender to built boiler makers for both new coal-fired Medupi and Kusile power stations.
Chancellor House and Makotulo Investments are minority shareholders valued at 25% and 5% respectively. Most of us know what the Chancellor House is but I have tried in vain to get information on Makotulo Investment Company. I tried Google but every search returns few results which are only linked to Hitachi Power Africa regarding this deal only. Nothing more. So I quit the search and concluded that is a token BEE company since it doesn't even have a website.
Back then, in a usual seduction of big business, Hitachi's Chief Executive Johannes Musel said, "Our main focus is the successful execution of the projects and the fulfillment of the ASGISA contract obligations. These obligations call for 60% local content, preferential procurement, skills development and investment in South Africa. These contracts will benefit local industry through know-how transfer and skills enhancement in a highly specialized engineering field."
I only want to deal with this ‘transfer and skills enhancement in a highly specialized engineering field to local industry' aspect only because it is at the heart of the recent workers demonstration which brought operations to halt at both stations last week Tuesday. Workers decried Hitachi's preference for foreign workers in their place, mainly Asians. This happens under the watch of Chancellor House and Makotulo which I think, by virtue of their comradeship, should have made sure from the beginning that such shenanigans had no room to manoeuvre.
That's if both have a thorough understanding of the tendencies of Asian orientated companies. They should have for, not so long ago, a certain Chinese Company contracted to build 4-G Network for Cell C was smuggling workers into this country in a place where they should hire local people.