PriceWaterhouseCoopers to review Eskom and Tegeta contracts

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Published May 10, 2017

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Johannesburg - PriceWaterhouseCoopers has called for the review of the contracts Eskom entered into with Tegeta worth billions of rand.

This is one of the recommendations of the PwC report tabled in Parliament on Wednesday after the Office of the Chief Procurement Officer presented the long-awaited report. In the report PwC said Eskom flouted supply chain management procedures and its own SCM policies in the contract.

However, Solly Tshitangano of the office of the Chief Procurement Officer would not say whether the value of the contract Eskom signed with Tegeta was R7 billion or R10 billion. This followed questions from MPs on the exact value of the contract after some reports said it was R7bn and others put it at R10bn over a period of 10 years. 

Read also: Gupta's Tegeta settles Eskom penalty for R2bn

Tshitangano was appearing before Scopa on the investigation into coal contracts Eskom entered into with Tegeta. He said there were many violations in the contracts ranging from the quality of coal, the price of coal and the adjudication process.

BUSINESS REPORT ONLINE

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