Johannesburg - The Minister of Public Enterprises Lynne Brown says the reinstatement of Brian Molefe as Eskom CEO is a better option than having to pay him a R30 million retirement payout.
Brown said on Friday at a briefing in Parliament, that Molefe’s reappointment was in line with the National Treasury requirements and that she has accepted the board’s decision.
The Eskom board made the decision this week stating that it could not reach an agreement on how much it should pay out to Molefe.
The board had planned to pay Molefe R30 million, but that decision was stopped by Brown who said the amount was excessive.
Molefe has resigned as a member of Parliament and is expected to start work at Eskom on Monday.
Brown was at pains to explain that Molefe was not found guilty of any wrong doing even though he was linked to the Gupta family in the Public Protectors State of Capture report.
She said it was up to President Jacob Zuma, to call an inquiry as recommended in the report and until then, Molefe was innocent.
On whether the board’s decision was ethical, she said after an inquiry is called, then Molefe’s return can be debated as being ethical or not.
Brown said Molefe was responsible for where Eskom was today, and the turnaround recovery from the years of load shedding.
Matshela Koko, who was acting Eskom CEO, has taken leave until an investigation is complete into irregular process at the power utility.
Koko has been wrapped in a scandal over tenders that were awarded to a company that is linked to his step-daughter.
Molefe's return has sent shock-waves throughout the country, with some political parties threatening to go to court to stop his return.
Politics and Development Hub