Eskom grilled in Parliament

The power utility briefed the Committee on its annual report and financial statements for 2015/2016.

The briefing follows a public spat between National Treasury and Eskom over a review of the power utility's coal contracts with a Gupta-owned coal firm, Tegeta.

Treasury issued a statement on Monday, saying attempts to obtain information from Eskom has been met with continuous resistance. 

The DA's David Maynier was quick to question Molefe on the allegations made by Treasury.

"Since the matter does relate to a company called Tegeta Exploration and Resources, which as we all know is controlled by the Gupta family, is the board considering investigating the conduct of the group chief executive officer in relation to the allegation that he failed to cooperate and, in fact, undermined and blocked the National Treasury's review of the coal contracts?" Maynier asked.

A report  found that the coal purchased from Tegeta was not up to standard and could not be used. This lead to the suspension of two Eskom officials.

Molefe, meanwhile, said there was nothing wrong in doing business with the Gupta family.

"The South African Bureau of Standards said there is nothing wrong with this coal and those employees were suspended. We do not understand why they had said the coal was substandard. So, to me, it sounds like the objection is about doing business with Tegeta or with the Guptas. I don't know what the reasons are other than gossip and innuendo," Molefe said.