DONGFANG CONTRACT
Eskom bosses ‘sidelined for querying Dongfang deal’
Chinese company was awarded the tender even though its bid was R1bn more expensive than its rivals
Eskom executives were allegedly sidelined after they questioned the wisdom of awarding Dongfang a R4bn contract to supply a new boiler to Duvha power station. The Chinese company was awarded the tender even though its bid was R1bn more expensive than its rivals. A paper trail obtained by Business Day shows Eskom bent over backwards to ensure Dongfang was awarded the deal even though its bid had severe defects. On Friday, the High Court in Johannesburg interdicted the contract after losing bidders Murray & Roberts and General Electric claimed in their filings that Eskom had rigged the tender to favour Dongfang. Sources close to the power utility told Business Day that group executive for group capital Abram Masango was removed from his post just days before the contract was signed. Matshela Koko, who was then acting CEO, said Masango had been "seconded" to his office to help him and chief financial officer Anoj Singh in executing Eskom’s corporate plan. Masango was replaced by Prish ...
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