Durban - The National Energy Regulator of South Africa (Nersa) has defended its regulatory framework member from allegations that he is conflicted and stands to benefit from the recent nod for Eskom to hike electricity prices from April this year.
Thembani Bukula is part of Nersa while he is the CEO of PowerX South Africa, one of the independent power producers contracted to Eskom.
His detractors claimed that he was basically javelin throwing as the company he leads was going to benefit from the decision he was part of at Nersa.
However, Charles Hlebela, told IOL in a written response shortly after last week’s announcement that Bukula declared his interests and the decisions of the board are not taken by him alone.
“In accordance with the law, there is no pecuniary interest that Mr Bukula stands to benefit pursuant to this decision.
“Further note that the Energy Regulator (Board) consists of nine (9) Members that make decisions on applications from NERSA licensees including Eskom.
“The decisions of the Energy Regulator are solely based on the thorough analysis of the application as well as facts and evidence presented to the Energy Regulator,” Hlebela defended Bukula.
He also said Bukula declared his interest to the cabinet before his appointment was given the green light.
“‘Mr Bukula is not conflicted.
“Please note that the law requires that upon appointment every Part-Time Regulator Member must disclose to the Minister of Mineral Resources and Energy his (or her) pecuniary interest in any company (firm or association) engaged in the electricity (piped-gas and petroleum pipelines) industries.
“Mr Bukula, as the Part-Time Regulator Member has duly complied in this regard,” Hlebela said when this was put to Nersa for answers.
Hlebela also disputed that Bukula is also the non-executive director of Mahube Infrastructure which has five independent power producers contracts, two wind farms and three solar farms.
“This information is incorrect, Mr Bukula resigned from this position upon his appointment as Nersa chairperson,” he said.
Micheal Carrim, the acting head of GCIS and cabinet spokesperson, said Nersa had already dealt with the matter.
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