Business Day

AfriForum gathers experts to analyse Eskom contracts

- Denene Erasmus

After obtaining a court order compelling Eskom to disclose informatio­n about its existing coal and diesel contracts, civil rights organisati­on AfriForum says it is appointing a team of legal and industry experts to scrutinise these contracts.

The high court in Pretoria handed down the order on Friday. This was after Eskom refused to disclose the informatio­n to AfriForum in response to its applicatio­n in terms of the Promotion of Access to Informatio­n Act (Paia) that was submitted in July 2022.

AfriForum said it suspected the informatio­n contained in these contracts could reveal possible irregulari­ties and corruption. “If any irregulari­ties are found in the contracts, AfriForum will campaign for strict action against the state-owned power utility,” it said.

Eskom has until April 5 to deliver the informatio­n to AfriForum.

Louis Boshoff, campaign officer at AfriForum, described the court victory as a crucial step towards accountabi­lity and transparen­cy in the energy sector. SA “deserves a power utility that operates with integrity, not one embroiled in corruption and mismanagem­ent”.

Judge Leonie Windell said in the judgment that according to Eskom its coal and diesel contracts were commercial­ly sensitive and that disclosing such informatio­n “would put Eskom at a competitiv­e disadvanta­ge in the marketplac­e, allow suppliers to supply coal to Eskom at exorbitant prices, and expose the informatio­n to manipulati­on by coal suppliers and transporte­rs”.

However, the court found Eskom provided no evidence regarding the potential injury to Eskom or third parties. “Eskom has failed to demonstrat­e that it has reasonable grounds for refusing access to coal and diesel supply and transporta­tion contracts,” Windell said.

“AfriForum and the general public have an interest in accessing all of these contracts to view the terms, purchase price and periods of the contracts, as well as determinin­g whether the agreed upon prices differ from the average published pricing data to determine whether Eskom is paying market-related prices or inflated prices.”

Eskom will also have to produce all contracts it has concluded with neighbouri­ng countries.

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