Media Statement - Necsa and Cef to Appear Before Committee On Mineral Resources and Energy to Present Annual Performance and Strategic Plans
- Aug 4, 2021 4:23 pm GMT
The two entities did not present their performance and strategic plans for the current financial year on the grounds that schedule 2 entities are not obliged to table these plans in
The committee also wanted to legal opinion on whether it can still intervene and conduct oversight over procurement on the Risk Mitigation Independent Power Producer Procurement Programme (RMIPPPP). This is related to the allegations of corruption shrouding the awarding of a contract to the
The RMIPPPP was released to the market in
In giving an overview of what led to the committee to solicit a legal opinion on Necsa and CEF, the Chairperson of the committee, Mr Sahlulele Luzipo, said the entities did not appear before the committee during the year under review. This was based on the fact that they are schedule 2 entities and therefore they submit to the Minister of Mineral Resources and Energy for approval.
The committee understands that as schedule 2 entities, Necsa and CEF are not legally compelled to table annual performance and strategic plans in
Mr Luzipo said that according to the National Assembly Rules, committees have a legislative right to call any entity or person to appear before them if that entity or person has information deemed necessary in the performance of the committee's oversight duties. He added: "This implies that at any given moment, if a committee needs any kind of information in the furtherance of its legislative responsibility, a committee is entitled to it."
The committee has resolved to communicate this to the
The committee also considered the issue of the multibillion-rand RMIPPPP tender process, which has been dogged by allegations of corruption and departmental manipulation of procurement procedures. The committee heard that it has a jurisdiction to conduct oversight over the tender process, despite the fact that it is now the subject of litigation.
Mr Luzipo said a committee inquiry process should commence and the Minister of Mineral Resources and Energy will be called upon in the first instance to give an overall account on the purpose of the RMIPPPP. The minister will also be given an opportunity to reply to the allegations of undue influence and possible manipulation in the awarding of the tender. The minister will also have an opportunity to provide clarity on the action taken against anyone who compromised the tender process.
Based on the Minister's responses, the committee will make a determination on the way forward, including possibly of inviting
The committee is saddened by the passing of committee Member Mr Mthokozisi Nxumalo, and sends its heartfelt condolences to his family and friends. It will send a delegation to the family as a gesture of support at this difficult time.
The committee also noted the violence and destruction of property and infrastructure in KwaZulu-Natal and Gauteng recently. It is considering holding an emergency meeting to discuss, among other things, an oversight visit to both provinces to assess the impact of the violence and its implications for the mineral resources and energy sector.
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