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The chairperson for the Portfolio Committee on Public Enterprises, Khaya Magaxa, says action must be taken against all parties involved in the fruitless and wasteful expenditure incurred in the building of accommodation for Eskom employees at Kusile power station.

This follows a report on the initial budget of R160 million planned for the construction of the accommodation for Eskom employees. The project was halted when expenditure reached R840 million.

According to the report, the project was abandoned and remains unfinished, while Eskom is alleged to have spent billions on rental accommodation and transportation for its employees. The 336 units were to be developed in the Wilge residential development project.

Magaxa has condemned the wasteful expenditure, calling it a serious disregard for taxpayers’ money.

“There is a housing crisis in many mining towns and Eskom has a responsibility to be a catalyst for transformation in the communities within which it operates. This should have been a legacy project that would serve as an example to many mining companies.

“We will be calling Eskom to appear before the committee on 17 February 2021. We believe this matter must be investigated and action must be taken against all parties involved,” Magaxa said on Monday.


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