DEPARTMENT: PUBLIC ENTERPRISES

REPUBLIC OF SOUTH AFRICA
NATIONAL ASSEMBLY
QUESTION FOR WRITTEN REPLY
QUESTION NO.: 182

DATE OF PUBLICATION: 17 February 2012

182. Mr P van Dalen (DA) to ask the Minister of Public Enterprises:

(1) What was the annual cost of copper cable theft from (a) Eskom and (b) Transnet (i) in the (aa) 2006-07, (bb) 2007-08, (cc) 2008-09, (dd) 2009-10, (ee) 2010-11 financial years and (ii) during the period 1 April 2011 up to the latest specified date for which information is available with respect of (aa) loss, (bb) replacement costs and (cc) increased security measures;

(2) Whether the (a) protection of copper cables and (b) action to combat theft thereof is outsourced; if not, why not, in each case; if so, (i) why are these functions outsourced and (ii) what are the names of the companies that have been contracted;

(3) Whether he has found that the outsourcing of these services had a reducing impact on the number of reported thefts; if so, what are the relevant details; if not, why not;

(4)Whether service providers have been held responsible for their nonperformance; if not, why not; if so, what steps were taken against the specified companies?           NW200E

 Reply:

Detailed information, according to Eskom and Transnet, about the annual cost of copper cable theft from Eskom and Transnet since 2006 to date is provided in the tables below.

Eskom

1(a)(i)(aa-ee)(ii)(aa-cc) The table below indicates the amount of copper cable theft incurred by Eskom since 2006.

Note: Costs indicated above are based on average estimates of cable cost per metre. Cost depends on specification of cable stolen. Cost is also inclusive of inflation.

(2)(a-b)(i-ii) No, Eskom did not outsource the protection of copper cable theft services. The Network equipment theft in Eskom is managed by the Eskom Network Equipment Crime Committee (ENECC) that coordinates strategies of relevant internal disciplines (technical, commercial, security etc.). There is no need to outsource the service.

Some of the combating actions, namely the Specialised Forensic Investigations and Air Support, are outsourced to two companies to supplement ENECC initiatives as Eskom does not have sufficient internal capacity to render these specific services. The names of the companies that render services mentioned above cannot be made public because of the risk nature of the services they provide. 

(3) Yes, the activities of both companies are strictly monitored and managed by ENECC and both contracts stipulate penalties and for termination of services in instances of non-performance. The services of both companies exceeded targets thus far and no remedial actions were necessary.

(4) Not applicable.

Transnet

1(b)(i)(aa-ee)(ii)(aa-cc)  The table below indicates the amount of copper cable theft incurred since 2006, as reported by Transnet.

(2)(a-b)(i-ii) The protection of copper cables and action to combat theft is outsourced. Transnet outsources the protection of copper services to specialised security service providers with expertise in information and intelligence gathering. The names of the companies that render services mentioned above cannot be made public because of the risky nature of the service they provide. 

(3) According to Transnet, outsourcing the protection of copper cables has not necessarily yielded the desired results as was expected. Therefore, Transnet is in the process of introducing an element of proprietary security for the protection of critical/key areas.

(4) Contractually, all non-performing service providers are penalised for poor performance and direct losses recovered from them accordingly. The contractual clause to recover direct losses from the service providers is being fully implemented on an ongoing basis.

Issued by Parliament, March 20 2012

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