Is SA selling nuclear secrets to Russia?

The Minister of Energy, Tina Joemat-Pettersson, has once again been caught withholding critical information regarding South Africa’s proposed future nuclear new build programme.

Despite continued promises from the Minister that any nuclear procurement process will be transparent, the DA is troubled to note the following reference from National Treasury’s 2014/15 annual report which reads as follows:

"Compiled memorandum on Pebble Bed Modular Reactor (PBMR) training and research educational assets as well as the transaction with Rosatom State Energy Corporation (Rosatom)."

Vaguely worded and buried deep within National Treasury’s annual report, this reference essentially means that on face value it appears government is selling intellectually property to the Russian state-owned Energy Corporation. This proposed transaction has not been brought to Parliament’s attention, despite more than R9.2 billion of taxpayers’ money being spent to develop PBMR technology between 1993 and 2010. 

Even more alarmingly, the DA is concerned that the proposed PMBR transaction was not formally incorporated in the Russian Nuclear Framework Agreement signed between Russia and South Africa last year, and which came before the Portfolio Committee on Energy on August 2015. 

The framework agreement is a detailed expression of proposed co-operation between to South Africa and Russia – and should therefore have included any and all aspects of nuclear co-operation between Russia and South Africa.

That the PMBR transaction has not been included raises serious questions as to what else the Minister is withholding from Parliament and the South African public. This once again hints at the preferential relationship which exists between South Africa and Rosatom.

This reference further raises a series of other pertinent questions:

- What is the nature and extent of the transaction with Rosatom? (i.e what is being sold? Is SA selling the hardware or its intellectual property as well?)

- What is the total value of the transaction? (Does this constitute fair value to the South African taxpayer?)

- What tender process, if any, has been undertaken? 

- Does this transaction comply with South Africa’s commitments under the Non-proliferation Treaty?

It is imperative that as much information regarding this deal be made publically available immediately.

In this regard, I will today be writing to the Minister of Energy requesting immediate clarification on the proposed transaction with Rosatom as well as submitting a serious of detailed questions to Parliament.

Once again, the South African government has taken the public for fools. The DA will not stand for this.

Issued by Gordon Mackay, DA Shadow Minister of Energy, 28 September 2015