MyZA

News, Directory, Events and Other Stuff

You are here: Home / News / Eskom and PwC settle R43 million dispute over cost reduction contract

Eskom and PwC settle R43 million dispute over cost reduction contract

Eskom and PwC settle R43 million dispute over cost reduction contract

Eskom and PricewaterhouseCoopers (PwC) have reached a R43 million settlement in a high court case initiated by Eskom in 2021 related to a disputed cost reduction contract.

According to Eskom, the case aimed to “set aside a cost reduction contract, known as the ‘Capital Scrubbing engagement’, and recover payments made to PwC and Nkonki”. 

Eskom Group Chief Executive, Dan Marokane said: “Management’s commitment in dealing with cases arising from the findings of the Zondo Commission has been instrumental in achieving this outcome, and it underscores our dedication to restoring integrity within Eskom”.

The power utility explained that the contract had been “scrutinised by the Judicial Commission of Inquiry into Allegations of State Capture” – also known as the Zondo Commission. 

“Under the terms of the settlement, the disputed contract has been set aside, and PwC will pay Eskom a sum of R43 million in a full and final settlement of Eskom’s claim against PwC. This settlement is a significant milestone in our ongoing action plans to enhance governance and accountability,” Eskom said.

The power utility reaffirmed its commitment to dealing with corruption, while strengthening its generation recovery. 

“Eskom will continue to focus on implementing generation recovery, strengthening governance, and tackling crime and corruption while future-proofing the organisation to enable energy security, growth, and long-term sustainability to the benefit of South Africa and sub-Saharan Africa,” Eskom said.

For its part, PwC issued a statement, acknowledging that it had learned “important lessons” throughout the civil dispute process.

“PwC participated in good faith in what it believed was a compliant bidding process for the award of the Capital Scrubbing engagement. However, the State Capture Commission found the Capital Scrubbing contract between PwC and Eskom to be irregular as a result of Eskom’s non-compliance with relevant procurement laws.  

“There was no evidence that any partner or staff member from PwC was involved in any unlawful or irregular conduct in the bid for or award of the Capital Scrubbing engagement. Similarly, there was no finding of any wrongdoing against PwC made by the court in respect of the civil dispute between PwC and Eskom.

“We are pleased to have finally concluded this longstanding civil dispute. Going through this process afforded us the opportunity to reflect and learn some important lessons,” PwC said. – SAnews.gov.za

NeoB
Thu, 01/30/2025 – 10:09

26 views

Eskom and PricewaterhouseCoopers (PwC) have reached a R43 million settlement in a high court case initiated by Eskom in 2021 related to a disputed cost reduction contract.

According to Eskom, the case aimed to “set aside a cost reduction contract, known as the ‘Capital Scrubbing engagement’, and recover payments made to PwC and Nkonki”. 

Eskom Group Chief Executive, Dan Marokane said: “Management’s commitment in dealing with cases arising from the findings of the Zondo Commission has been instrumental in achieving this outcome, and it underscores our dedication to restoring integrity within Eskom”.

The power utility explained that the contract had been “scrutinised by the Judicial Commission of Inquiry into Allegations of State Capture” – also known as the Zondo Commission. 

“Under the terms of the settlement, the disputed contract has been set aside, and PwC will pay Eskom a sum of R43 million in a full and final settlement of Eskom’s claim against PwC. This settlement is a significant milestone in our ongoing action plans to enhance governance and accountability,” Eskom said.

The power utility reaffirmed its commitment to dealing with corruption, while strengthening its generation recovery. 

“Eskom will continue to focus on implementing generation recovery, strengthening governance, and tackling crime and corruption while future-proofing the organisation to enable energy security, growth, and long-term sustainability to the benefit of South Africa and sub-Saharan Africa,” Eskom said.

For its part, PwC issued a statement, acknowledging that it had learned “important lessons” throughout the civil dispute process.

“PwC participated in good faith in what it believed was a compliant bidding process for the award of the Capital Scrubbing engagement. However, the State Capture Commission found the Capital Scrubbing contract between PwC and Eskom to be irregular as a result of Eskom’s non-compliance with relevant procurement laws.  

“There was no evidence that any partner or staff member from PwC was involved in any unlawful or irregular conduct in the bid for or award of the Capital Scrubbing engagement. Similarly, there was no finding of any wrongdoing against PwC made by the court in respect of the civil dispute between PwC and Eskom.

“We are pleased to have finally concluded this longstanding civil dispute. Going through this process afforded us the opportunity to reflect and learn some important lessons,” PwC said. – SAnews.gov.za

Watch a Eskom and PwC settle R43 million dispute over cost reduction contract related video:

Stunning South Africa:

https://www.eskom.co.za/wp-content/uploads/2022/05/ARNOT-768×433.jpg

Have you visited MyPR?

MyPR.co.za offers free to publish press releases for your news site, blog or offline publication. Use the handy REPUBLISH facility or the Full Text RSS Feeds or just copy and paste.

Straton Electrical | Straton Solar | Straton Prepaid | Straton Plumbing | Straton IoT | Straton eBikes | BA Systems | Mbane Contracting | Reach Trust

Category: Tag: , , , , , , , ,

If you feel strongly about this article then feel free to send MyZA a ‘Letter to the Editor’ using the submission form below:

Letter to the Editor

This field is for validation purposes and should be left unchanged.
If this is in response to an article please include that article title here or as the lead in for the first paragraph of your Letter below.

Separate tags with commas

Localise your letter by naming the city your words are about. Add relevant words describing your subject. Single comma separated words of no more than 5
Your Name(Required)
Your Name will be linked to the website below.
Your personal, business or social media web site
Choose NO to not set up a user account on MyZA. User Accounts will allow you to submit letters under your own Author Name

3 Latest Letters to the Editor:

  • Re: R8.5 Million Lotto Winner Claims Prize in Gqeberha

    Dear Editor This is indeed an exciting story for the community. Congratulations to the winner and may this bring positive change to Nomathamsanqa. As someone from KwaMashu, I understand the impact such winnings can have on township communities. Wishing the grandfather all the best. Regards Themba Zulu In Response to/From: R8.5 Million Lotto Winner Claims…

  • Re: Minister Tolashe and Postbank Black Cards

    Dear Editor I appreciate the Minister’s assurance regarding the smooth transition to Postbank Black Cards for grant beneficiaries. As a concerned citizen, I hope the government will ensure that all beneficiaries, especially elderly and vulnerable populations in areas like Soweto, receive adequate assistance during this transition period. The expansion of card replacement locations to include…

  • Lotto Winner Story

    Dear Editor This is indeed an exciting story for the community. Congratulations to the winner and may this bring positive change to Nomathamsanqa. Regards Willem Pieterse In Response to/From: R8.5 Million Lotto Winner Claims Prize in Gqeberha

Reader Interactions

Comments

  2. Bliksem – to hit. This is a derogative term meaning to hit or punch someone.Example: “I’ll bliksem you!”