Eskom probes irregularities in R21 billion diesel supply deal

Eskom has confirmed an internal investigation into possible irregularities in its procurement of diesel fuel for the Ankerlig power station near Cape Town. The probe covers a five-year contract worth around R21 billion awarded to five suppliers in late 2024. Questions have been raised about prepayments, bidder qualifications and due diligence processes.

Eskom awarded the contract in December 2024 to African Forwarding and Shipping, Astron Energy, Lanele Resources, Nutinox and Severino Industries. The deal covers supply of up to one billion litres of diesel over five years for use at peaking power stations.

The utility has faced scrutiny over nearly R3 billion in prepayments made to some suppliers between February and July 2025. Eskom also accepted bids from companies facing separate corruption allegations linked to Transnet contracts.

Eskom stated that its Group Investigations and Security Department has completed most of the review. The final report is expected by 15 May 2026. Several suppliers have said they cooperated with investigators but have not seen the findings.

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Energy CS Opiyo Wandayi assures Kenyans of secure fuel supplies after containing Ksh4B substandard fuel scandal.
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Energy CS Wandayi: Substandard fuel threat contained after Ksh4B scandal

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Energy and Petroleum Cabinet Secretary Opiyo Wandayi has assured Kenyans that the threat of substandard fuel from the ongoing Ksh4 billion procurement scandal has been contained, with supplies secure. This follows the arrests and resignations of four senior officials last week and the halting of a second suspicious shipment. EPRA has appointed Joseph Oketch as acting Director General.

The trial of Eric Wood and 12 co-accused over alleged State Capture at Transnet has not begun nearly four years after their 2022 arrests. Defence lawyers requested a postponement in February 2026, citing late disclosure of evidence, a claim disputed by the National Prosecuting Authority (NPA). The case involves charges of corruption and fraud linked to a controversial locomotives deal.

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South Africa's Fuels Industry Association states that fuel supplies are stable but tight, especially for diesel, ahead of price increases on 1 April 2026. President Cyril Ramaphosa said he and Finance Minister Enoch Godongwana are concerned about the situation. Taxi operators and consumers warn of impacts from hikes exceeding R5 per litre for petrol and nearly R10 for diesel.

South Africa’s water sector lost nearly R19 billion in 2023/24 due to leaks, illegal connections and billing issues, Auditor-General Tsakani Maluleke’s report reveals. With 47% of treated water wasted before reaching users amid ageing infrastructure and governance failures, the findings underscore the urgency behind the National Water Crisis Committee launched in February.

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Twelve senior South African Police Service (SAPS) officers, including one retired, were arrested on 24 March 2026 in connection with a fraudulent R360-million tender awarded to Vusimuzi ‘Cat’ Matlala’s company, Medicare 24. They appeared in Pretoria Magistrates’ Court the next day facing corruption and fraud charges. The case links to broader allegations of Big Five cartel infiltration in law enforcement.

The Superintendencia de Servicios Públicos Domiciliarios fined Enel Colombia $2.847 million for submitting elevated price offers in the Wholesale Energy Market that did not reflect its variable costs. This action sidelined the Betania plant from economic dispatch and caused an artificial rise in prices. President Gustavo Petro linked the issue to March inflation and demanded Enel refund the overcharge to users.

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A Daily Maverick probe has uncovered that R11.3-million in cash deposits into Palcocap (Pty) Ltd's account were made at ATMs near properties and workplaces of former Eskom and Transnet CEO Brian Molefe. The deposits, totaling 706 transactions from November 2013 to July 2018, made up 93% of the company's earnings. The findings raise questions about the origins of the funds amid Molefe's past links to the Gupta family.

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