COSATU welcomes the Treasury’s immediate withdrawal of its ill-conceived three-year exemption of Eskom from disclosing irregular, fruitless, and wasteful expenditures in its Annual Financial Statements.

6 April 2023

The Congress of South African Trade Unions (COSATU) has noted and welcomes the Finance Minister, Enoch Godongwana’s immediate withdrawal of the National Treasury’s ill-conceived decision to exempt Eskom from comprehensively reporting on irregular, fruitless, and wasteful expenditure for the next three financial years in its Annual Financial Statements.

The Federation appreciates that the government listened to and conceded to the workers and the public’s outcry against its dubious and contentious decisions. This change of heart should also be extended to Transnet which received the same exemption in March 2022.

The outlandish arguments proffered by the government for the exemption of these SOEs were unsatisfactory. They were only reinforcing the perception that decision-makers in this country loathe accountability and hold the rule of law in contempt.

The country’s self-deception is one of the reasons we are in trouble. We will not face up to the realities of the situation, we will much rather lie to ourselves or be lied to than deal with the truth.

The government needs to intensify and strengthen the financial regulatory framework and governance systems, including implementing the Zondo Commission’s recommendations. COSATU welcomes Treasury’s call for a constructive engagement on what support is needed for our State-Owned Enterprises.

However, this cannot come at the expense of state companies failing to account for on how they spend the workers’ hard-earned taxes. The fight against corruption, state capture, and malfeasance needs to be elevated and not weakened.

The National Treasury needs to move with speed to table the Public Procurement Bill at Cabinet and Parliament. This will help plug the many holes in public finances and procurement across the state. The Bill needs to reach Parliament by the 1st of May 2023, if we are to ensure that it is passed into law before the end of the 6th administration.

Issued by Sizwe Pamla, COSATU, 5 April 2023