Eskom says Fidelity Services contract was in line with its procurement processes

Eskom has denied offering security company Fidelity Services a R500 million contract without following the correct procurement processes.

Allegations recently surfaced that the security company procured the three-month security tender in 2022 without any competitive bidding.

But on Sunday, Eskom said it was an emergency procurement after it received information of a potential security threat to its critical sites, adding that while the contract was for three months, only R250 million was spent.

Eskom interim spokesperson Daphne Mokwena said the payment was in line with National Treasury directives.

“Operationally, across Eskom sites there was daily and monthly monitoring of activities and the payment of the invoices over the three months were in line with the contracted services. A total of approximately R250 million including VAT was spent for the duration of the contract.”

The power utility added that it would work with relevant authorities on any investigation, given the seriousness of the corruption allegations linked to the contract.

-EWN

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