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Turmoil over Eskom CEO's exit

Nov 05 2009 22:45 Print this article  |  Email article

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Johannesburg - Eskom staff and politicians have expressed strong views about the resignation of Eskom CEO Jacob Maroga, who apparently is yet to be officially ejected.

Eskom chairperson Bobby Godsell announced Maroga's resignation to staff, who expressed mixed emotions about the announcement on Thursday.

"Mr Maroga tendered his resignation... which we have accepted. We wish him well in his future endeavours," Godsell told Eskom staff at a meeting attended by Sapa in Megawatt Park, Johannesburg.

Eskom board member Mpho Makwana said: "It is a difficult time for Eskom. All that we can do is put our heads together... Mr Maroga needs time to heal, we have to allow that process to go on."

The paratastal, however, made no public announcement on the matter on Thursday.

Eskom executives Brian Dames and Erica Johnson are poised to jointly lead the embattled electricity utility on an acting basis, but it must first eject Maroga who is yet to sign severance papers, a company insider told Fin24.com's Sikonathi Mantshantsha.

Fin24.com has learned Maroga is not officially out of the way despite the public announcement by Godsell that Maroga had decided to leave - an undertaking Godsell allegedly earned by staking his own position.

According to the insider, Godsell threatened to quit his post if Maroga did not leave the company, a development that also served to lever out political interference in the Eskom succession battle.

In another announcement that indicated Maroga's exit is not clear-cut, news agency I-Net Bridge quoted Democratic Alliance spokesperson on energy Cobus Schmidt as saying Godsell and other directors were summoned to a "high-level meeting" after the Eskom chair told staff about Maroga's departure.

Every trick in the book

In a separate report, I-Net Bridge also quoted the ANC Youth League (ANCYL) as saying that Maroga had not resigned.

"The board, which is under the manipulative control of Bobby Godsell, has tried every trick in the book to get rid of Maroga, including through increment of his salary amidst electricity challenges, so that the South African public can perceive him as greedy.

"They are now spreading a rumour that Maroga has resigned as chief executive officer of Eskom and that is a complete lie," the ANCYL was quoted.

On Wednesday, Public Enterprises Minister Barbara Hogan said Maroga could not be blamed solely for the utility's problems, including a tardy response to coal procurement deficiencies. Her views echoed speculation that President Jacob Zuma had also thrown his weight behind Maroga.

Dames is Eskom's generation chief officer, while Johnson is the chief officer of its customer network business.

When contacted by Fin24.com, Dames said it was "news" to him that he had been appointed acting CEO together with Johnson.

"But that should make sense as we are the most senior people here," said Dames.

Godsell apparently made the announcement to the company's top 60 managers shortly before he announced Maroga's resignation to staff earlier on Thursday afternoon.

'End of black man's regime'

Several staff members who had filled the building foyer and three floors overlooking it could be heard complaining about the announcement, Sapa reports.

"Uyaphela umbuso wabantu abamnyama (a black man's regime is coming to an end)", said a visibly irritated employee.

Others accepted it, saying: "He must go".

A staff member who declined to be named told Sapa after the meeting: "They are lying. He was either fired or forced to resign... they are playing with our minds."

An internal memo e-mailed to Sapa by the Democratic Alliance indicated an interim CEO would be appointed in 90 days. Eskom's media desk would not confirm or deny such an e-mail was circulated among its employees earlier in the day.

The DA, other opposition parties and a trade union, welcomed Maroga's resignation, saying it would give way for management restructuring at the electricity utility.

"Maroga simply could not manage the electricity supplier efficiently and even failed to appoint competent executive management to salvage the crisis situation at Eskom," said Solidarity spokesperson Jaco Kleynhans.

Lance Greyling of the Independent Democrats said: "Given the persistence of problems at Eskom the ID believes that Jacob Maroga has done the honourable thing by resigning as CEO."

Eskom's board is scheduled to brief Parliament's public enterprises portfolio committee on Friday on matters relating to the chief executive.

- Fin24.com, Sapa and I-Net Bridge

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