[Expose] R1.8 Billion Paid To Exxaro As Prepayment For Coal Supply

Brian Molefe

R1.8 billion prepaid to Exxaro Coal, Gupta owned Tegeta got R600 million

Eskom Chairman, Ben Ngubane revealed that Eskom prepaid Exxaro close to R1.8 billion for coal before it was even supplied. Ngabane’s statement was made yesterday during Eskom’s appearance before Scopa in parliament.

Exxaro Coal contract was signed in 1989 and will only expire in year 2029.

It has always been thought that only Gupta owned Tegeta received prepayments which led to a probe which was initiated by the Treasury. Ngubane told Scopa that Tegeta received just about R600 million prepayment.

Ngubane’s statement has brought back calls to President Zuma to sign a declaration for the Special Investigating Unit to probe all Eskom’s coal contracts not just Gupta owned Tegeta.

Yesterday, Public Enterprises Minister Lynne Brown reiterated her intention to refer all Eskom contracts, including those of Exxaro and Tegeta to SIU.

“The SIU can only investigate if the president promulgates that investigation. The SIU does report back to the president and the idea is also to have them report, if there is a criminal (element) to the relevant police or the NPA,” said experts Pierre de Vos and Shadrack Gutto.

It also emerged yesterday that Eskom CEO Brian Molefe had not joined the company when Tegeta deal was signed. Tegeta contract was signed in March 2015 and Molefe joined Eskom in April 2015.

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