Eskom has complied with a Supreme Court of Appeal (SCA) order by releasing unredacted legacy energy and supply contracts for the purchase and transport of coal and diesel.
The utility’s decision comes after the SCA last month found that it was in the public interest to disclose the contracts and rejected Eskom’s argument that they are commercially sensitive.
Information
In June 2022, AfriForum used the Promotion of Access to Information Act (PAIA) to request Eskom’s electricity supply contracts with neighbouring countries, as well as its coal and diesel purchasing and transport contracts.
Eskom released the cross-border electricity contracts but withheld the coal and diesel agreements, citing commercial sensitivity.
Court battle
However, AfriForum challenged this in the Pretoria High Court and won in 2024. The high court found that Eskom’s initial and additional reasons for refusing access to the required information were insufficient and without any merit.
“This disclosure covers coal, diesel, independent power producers, and electricity exports, ensuring the public has sight of contracts that underpin South Africa’s energy supply.”
Contracts
The contracts that Eskom was ordered to release fall into four categories:
- Independent Power Producers (IPPs): A list of all IPPs feeding electricity into the national grid under the Electricity Regulation Act.
- Coal contracts: Active agreements for coal purchasing, transport, and distribution.
- Diesel contracts: Active agreements for diesel purchasing, transport, and distribution.
- Cross‑border supply contracts: Unredacted agreements for electricity supply to neighbouring countries.
Diesel probe
Meanwhile, Eskom said it is finalising a forensic investigation into its diesel procurement and storage contract, probing possible irregularities flagged during 2025 load‑shedding emergencies and whistleblower reports.
The final report is due mid‑June 2026, with potential criminal or civil action not ruled out.
“The forensic probe into diesel procurement under tender MWP2197GX reflects Eskom’s evolving controls – irregularities will be escalated transparently, and criminal or civil recoveries will be pursued where appropriate,” it said.
Investigation
The probe started in March 2025 after monitoring contract performance during operational emergencies, including load shedding in early 2025. Eskom also received information through reporting and whistleblowing.
The firm probed contracts for the supply of diesel to Eskom’s OCGT power stations.
These power stations support the utility’s system during emergencies, especially during periods of high breakdown rates and peak demand.
It came after the amaBhungane Centre for Investigative Journalism found that Eskom awarded R21 billion in diesel contracts to small, inexperienced companies.
These companies included Severino Industries, run by a 24-year-old graduate appointed a week before the tender closed, and Nutinox and Lanele Resources.
Tenders
Eskom added that it has also reinstated full probity reviews on high‑value tenders after previously scaling them back in 2022, strengthening governance and controls to safeguard procurement integrity.
The utility said these measures reflect its “commitment to transparency, accountability, and compliance” with national frameworks.
Credit rating
On Monday, Moody’s affirmed Eskom’s credit ratings at B2 with a stable outlook, citing improved operations, stronger cash flow, and government debt relief.
The agency also maintained the Ba2 rating on government‑guaranteed notes, while flagging risks from municipal arrears, tariff challenges, high capital needs, and unbundling execution.
Focused
Eskom Group Chief Executive Dan Marokane welcomed the decision,
“The utility remains focused on delivering the turnaround plan to restore Eskom’s operational and financial stability.
“Earlier this month, Eskom reached the milestone of one year without loadshedding that advances the stability of the grid and energy security in South Africa, as well as market liberalisation and the integration of renewable energy,” Marokane said.
Moody’s decision reflects Eskom’s progress but warns of persistent structural risks, while Eskom stressed its turnaround and milestone achievements.
