DA demands details of R1.6 billion Tegeta-Optimum settlement be made public
29 June 2017
The DA will today write to the Acting Public Enterprises Committee Chairperson, Ms Zukiswa Ranthoto, to request that she demands Eskom hands over the details of the Tegeta-Optimum agreement to the Public Enterprises Committee.
Reports today indicate that Eskom slashed a non-performance penalty of R2.1 billion levied against Glencore for their Optimum mine, to R255.4 million, a mere 10% of the original settlement demanded from the previous owners, Glencore.
The details of this outrageous agreement between Tegeta and Optimum must be made public as almost R1.6 billion in public money has apparently been gifted to the Guptas on a silver platter.
This is an almost 90% discount for the Guptas to acquire Optimum. Eskom most likely gave Tegeta this monumental discount because it is a Gupta-owned company.
Even worse, there are allegations that former acting Eskom CEO, Matshela Koko, approved a smaller but substantial, R659 million prepayment for coal from Optimum.
Essentially, it appears the Guptas were given money to take ownership of the mine.
Eskom, under the leadership of former CEO, Brian Molefe, therefore basically forced Glencore to sell off the mine when he refused to negotiate the R2.1 billion non-performance penalty.
The details of this outrageous agreement must now be tabled before the Public Enterprises Committee for scrutiny and effective oversight.
Eskom can no longer hide behind the confidentiality clause. The public deserves to know the content of this agreement. In this instance, it is clear that the public interest outweighs any corporate confidentiality prescriptions. NA Rule 167 gives the power to the Committee to request any documents – it is under this rule that Eskom must account to Parliament.
The captured Gupta cronies at our country’s state-owned enterprises are systematically looting our key institutions for no other reason than their own financial benefit. Ensuring the details of potentially dodgy dealings are made public is the only way to make inroads into stopping this flagrant abuse.
Issued by Natasha Mazzone, DA Shadow Minister of Public Enterprises, 29 June 2017
