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Cape Town - Eskom has rejected claims in a news report that it paid more than R134m on coal from Tegeta Exploration and Resources that it could not use.
"Eskom disputes that it has received out of specification coal worth more than R134-million from Tegeta, and we have provided the documentation to that effect to the National Treasury," it said in a statement on Sunday.
The Sunday Times reported that a National Treasury investigation found that signed a 10-year coal supply deal with Tegeta worth R400m.
According to the paper, Treasury requested comment from Eskom CEO Brian Molefe on a wide range of issues relating to the deal, including that Eskom considered Tegeta’s proposal in 2014, despite the company not having a water use licence.
However, the Sunday Times, citing government sources, reported that Molefe did not respond.
Eskom said that it continues to co-operate with the National Treasury on its investigations of the coal contracts.
"Contrary to the allegations made by the Sunday Times today, the National Treasury has not issued any conclusive findings against Eskom on any of these contracts," it said in a statement.
The power utility said it has repeatedly provided information to the National Treasury and where additional time is required has informed the National Treasury that some of the additional information that it had requested would only be supplied after board approval.
Eskom noted that the latest correspondence it received from the Treasury was on August 17, in which the Treasury supported the extension of the coal supply contract for the Komati Power Station.
"In approving the extension, the National Treasury stated that the reason provided for the extension is that there is a need for continuous supply of coal to Komati as well as the utilisation of the stockyard at Koornfontein premises to supplement the coal stockyard at Komati."
The Koornfontein Mine is owned by Tegeta Resources & Exploration.
Eskom also pointed out that the Department of Water and Sanitation issued Tegeta with a water use licence in December 2014.
"The spurious allegations by the Sunday Times, which have are being continuously regurgitated, are therefore wholly incorrect, mischievous and misleading."
Read: Release coal docs at your own peril, Guptas warn Treasury
Fin24 reported on Thursday that Tegeta threatened Treasury over a report into coal contracts with Eskom.
The threat occurred when Democratic Alliance MP David Maynier submitted a request under the Promotion of Access to Information Act (Paia) for Treasury to release the documents.
Tegeta opposed the application and Treasury informed Maynier of this outcome. However, the DA shadow minister of finance then submitted another Paia request for the reasons for his first application being denied.
Treasury sent him the correspondence they received from Tegeta, which Maynier shared with Fin24 on Thursday.
“The report seems to portray a unilateral effort by your Department to severely prejudice our business and our commercial relationship with Eskom,” Tegeta director Ravindra Nath told Treasury on 23 June
“We have received legal advice to record that we reserve our rights and, should you decide to disclose the aforesaid report, obviously not in context with the Constitutional principles affording us the right to comment on these averments (allegations) you do so at your own peril,” said Nath.
“We will consider obtaining further advice in launching an urgent application to interdict you from releasing the report until it has been subjected to scrutiny of all parties concerned.”
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