Eskom clarifies that there’s no foul play with R500m security tender budget

Eskom has defended its allocation of a R500 million budget for a security contract with Fidelity Services in 2022, stating that the procurement was transparent and per treasury procedures and directives for emergency service acquisition.

Management’s awareness of a significant security threat to Eskom’s operations and assets drove the decision to engage a security company. The contract, which spanned from July to September 2022, had a budget of R500 million.

During the three months, the security services encompassed safeguarding critical power stations, strategic corporate sites, and the transmission network. Despite the initial budget allocation, Eskom revealed that it only spent R250 million after careful monitoring and invoice payments.

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Responding to unverified allegations and reports of corruption and fraud associated with the R500 million contract circulating on various media platforms, Eskom expressed its willingness to cooperate with relevant authorities in any investigation. The power utility also encouraged individuals with credible evidence related to this matter to come forward and engage with the appropriate authorities.

Previous media reports had linked the procurement of the contract to former Eskom CEO André de Ruyter and head of security Karen Pillay. The seriousness of the allegations prompted Eskom to take a proactive stance and cooperate fully with any investigation that may arise.

Source: Eskom: No foul play with R500m security tender budget

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Picture: Unsplash / Miłosz Klinowski

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