New ANC broom sweeps the graft out of Eskom
Phakamani Hadebe has been appointed acting Eskom CEO with immediate effect, while Jabu Mabuza will take over as chairperson of the board, and all Eskom executives facing allegations of serious corruption and other acts of impropriety, including Matshela Koko and Anoj Singh, will be “immediately removed”, the presidency announced on Saturday.
The new board has been instructed to appoint a permanent group CEO and a group financial officer within three months, the presidency said in a statement.
A number of measures were being taken to strengthen governance at Eskom, including the appointment of new board members and stabilising management, it said.
This followed a meeting of President Jacob Zuma, Deputy President Cyril Ramaphosa, Public Enterprises Minister Lynne Brown and Finance Minister Malusi Gigaba on Friday to address urgent problems at the company.
The intervention would be ratified by Cabinet at its next meeting.
The company had been facing several problems, including its weak financial position, declining revenues and governance failures, which threatened its sustainability. Therefore, government had decided on immediate measures to strengthen governance and management. This was the first step towards restoring confidence in the company, improving its finan- cial position, and restoring its operational performance, the statement said.
The new board members are Jabu Mabuza (chairperson), Sifiso Dabengwa, Sindi Mabaso-Koyana, Mark Lamberti, Tshepo Mongalo, Malegapuru Makgoba, Busisiwe Mavuso, Nelisiwe Magubane, Rod Crompton, George Sebulela, Pulane Molokwane, Banothile Makhubela and Jacky Molisane.
The government called on all Eskom employees and other stakeholders who have evidence of wrongdoing to bring it to the attention of law enforcement agencies so the culprits could be brought to book.
The ANC welcomed the move, with spokesperson Zizi Kodwa describing it as “practical action responding to our commitment to confront corruption and state capture in all its forms”.
The DA said these were “important steps to re-establish good governance and restore the public’s faith”.
But the Banking Association of SA warned “the new board will need to urgently address serious structural problems at Eskom and a devastating knock-on effect on our economy if it fails to meet its financial obligations”. – ANA