EFF statement on the appointment of Jabu Mabuza as Executive Chairperson and Acting CEO of Eskom
30 July 2019
The EFF is concerned about the appointment of Jabu Mabuza as Executive Chairperson and Acting CEO of Eskom, by Pravin Gordhan. In its Annual General Meeting, Pravin Gordhan announced this irregular and possibly unlawful, appointment, because as far as we are concerned, Eskom has a Board of Directors that should manage the process of Executive Management and appointment of CEOs.
The CEO of Eskom, Phakamani Hadebe, announced his resignation from Eskom more than 2 months ago, and the Board should have immediately started the process of appointing a CEO. The EFF is concerned about Jabu Mabuza's appointment, because despite the fact that he declared his conflict of interests, the reality is that Mabuza and his relatives, do business with Eskom in a manner that gives him financial benefits.
Furthermore, Mabuza has been in Eskom as chairperson for more than 18 months now; and there's been absolutely no progress, and no plan, on how Eskom will be salvaged from the deep financial crisis it finds itself in. It is evident that Mabuza's stay in Eskom has nothing to do with the entity, but only serves to please other interests, rather than the provision of reliable, and affordable, electricity to all.
The EFF will urgently write parliamentary questions and letters to the ministry of public enterprises to ask what is the legal basis of the Minister single handedly appointing Jabu Mabuza as Acting CEO and Executive Chairperson. The phenomenon of Board Chairpersons, who dually serve as CEOs, even in an Acting capacity, is against sound Governance principles, and should not be promoted in State Owned Companies.
The EFF is concerned that under the current leadership of Public Enterprises, there are no visible and reliable signs that they will ever be saved, and this is demonstrated by the crises in Denel, Eskom, Transnet, SAA, SA Express and all entities under the Ministry s supervision and permanent interference.
Issued by Mbuyiseni Ndlozi, National Spokesperson, EFF, 30 July 2019
