The board of Eskom says it embraces preferential procurement rules and “all government policies aimed at transforming the economy”.

This after a weekend newspaper reported that Eskom board member Mteto Nyati suggested that some empowerment and localisation rules constrain the power utility.

Eskom board chairperson Mpho Makwana emphasised that the power places “a high premium on our role as a catalyst for transformation and empowerment”.

“Eskom continues to be the largest supporter of black owned suppliers who are positively contributing value to the production of electricity and we promote black industrialisation as a deliberate approach to supply chain management, localisation and industrialisation in our value chain,” Makwana said.

The power utility said it is committed to supporting youth and black women through its procurement processes.

“The Eskom board fully comprehends [empowerment] imperatives and is totally cognisant of the challenges many South Africans continue to face in terms of playing meaningful roles and livelihoods in the mainstream of the economy.

“As and when Eskom engages global players and contractors, due cognisance is always taken to facilitate local beneficiation and empowerment of South Africans – especially black women and the youth who continue to be the most marginalised members of our society,” the power utility said.

Eskom reported that in the previous financial year, it has procured some R134 billion in goods and services from Broad-based Black Economic Empowerment (BBBEE) compliant companies.

“This represents approximately 76% of Eskom’s total measured procurement spend on all contracts last year – higher than the 64.5% total measured procurement spent on black empowered suppliers in 2021.

“Procurement spend on black owned and black youth owned suppliers rose to 47.1% in 2022, from 34.6% the previous year,” Eskom said.

Source: South African Government News Agency