Eskom: Governance 'shortcomings' in R21bn diesel deals

Eskom: Governance 'shortcomings' in R21bn diesel deals

Eskom finds no missing diesel in its R21 billion procurement investigation but confirms governance and procedural shortcomings, referring certain matters to the Hawks for further investigation.

Eskom coal-fired Tutuka power plant
MARCO LONGARI / AFP

Eskom says it has completed the independent legal assessment, diesel reconciliation and verification processes arising from its investigation into diesel procurement and storage contracts.

The investigation focused on contracts potentially worth R21 billion that were issued in 2024.

Eskom spokesperson Daphne Mokwena says the independent processes found no evidence that diesel paid for by the power utility is missing.

She says the investigation did confirm instances of non-adherence to Eskom processes concerning payments made to certain suppliers:

“While the investigation identified procedural and governance shortcomings, Eskom began implementing corrective measures as these issues were identified, including strengthening probity and oversight controls that were suspended in October 2022, enhancing contract management processes, and initiating accountability measures where warranted,” Eskom’s Group Chief Executive, Dan Marokane, added.

"We will continue to act on the investigation's findings, including implementing consequence management where non-compliance with governance processes has been identified, as well as enforce consistent execution, accountability and monitoring of controls to ensure our governance and procurement processes remain robust, transparent and beyond reproach.”

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Marokane said that, based on the preliminary findings of the final independent report, Eskom has referred certain matters to the Hawks for further investigation.

In May, Eskom reported that it had spent R469.24 million on diesel between 1 April and 7 May 2026, to generate over 55 000 MWh of electricity in five weeks.

Electricity Minister Kgosientsho Ramokgopa said the use of diesel-fired generation during March was driven by the need to meet contractual obligations requiring a minimum load factor of 1% for the Independent Power Producer open-cycle gas turbines over the six months ending 31 March.

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