The Johannesburg High Court has interdicted a controversial R4bn tender awarded to Chinese firm Dongfang to supply Eskom with a new boiler at its Duvha power station in Mpumalanga. Losing bidders General Electric and Murray & Roberts accused Eskom in court papers of rigging the tender to favour Dongfang. Eskom awarded the contract to Dongfang just days after Gupta linked advisory firm Trillian gave the deal the thumbs up even though its offer was R1bn more expensive than rival bids. The court granted an interdict on Friday pending the outcome of an application to have the tender set aside and evaluated again. No reasons were given for the decision yet. Eskom spokesman Khulu Phasiwe said the power utility would abide by the decision "and has instructed the Group Capital and Procurement teams to halt implementation of the contract". He said the interdict would not affect Eskom’s settlement with its insurers. Eskom lodged an insurance claim after one of Duvha’s six boilers was destroye...

Subscribe now to unlock this article.

Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).

There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.

Cancel anytime.

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.