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Billions paid, rules bypassed: Eskom’s R3bn diesel controversy
Eskom has acknowledged that about R3 billion was paid to three diesel suppliers outside the terms of their contracts during a period when South Africa was battling renewed load shedding, raising fresh questions about procurement controls and governance at the state-owned power utility.
The admission follows an 18-month investigation into Eskom’s R21 billion diesel procurement and storage contracts for the Ankerlig Open Cycle Gas Turbine (OCGT) power station near Cape Town.
While Eskom says its investigation found no evidence that diesel paid for by the utility was missing, it confirmed that payments were made without the required approvals and outside contractual terms.
What Eskom found
According to Eskom, the approximately R3 billion in payments were made during early 2025 across three suppliers.
The utility said the investigation found instances where emergency approvals did not comply with its Delegation of Authority and where payments were made outside the agreed contractual terms.
Eskom said these findings represented governance and approval failures rather than evidence of a financial loss.
The utility has reported the matter to its auditors and National Treasury, while supplier-related issues are being considered through contractual and supplier-review processes.
Eskom CEO Dan Marokane acknowledged the pressure under which officials were operating at the time, but stressed that the circumstances did not excuse breaches of established controls.
“The period between January and March 2025 placed significant demands on the power system and required rapid operational responses and difficult decisions by employees and executives to maintain security of supply and protect grid stability,” Marokane said.
“However, operational pressures do not diminish our obligation to comply fully with internal controls and governance requirements.”
The load shedding backdrop
The payments occurred against the backdrop of one of Eskom’s most difficult periods in recent years.
South Africa experienced renewed load shedding in early 2025, including Stage 6 outages, placing enormous pressure on Eskom to keep additional generation capacity available.
Ankerlig is one of Eskom’s OCGT facilities, which can be brought online rapidly when the grid is under pressure. The plants are designed to provide emergency electricity but rely heavily on diesel, making fuel availability critical during periods of system instability.
Eskom has previously used advance payments to diesel suppliers during emergencies to secure fuel quickly.
The utility said this history may have contributed to advance payments being treated as an available operational mechanism. However, it acknowledged that emergency circumstances did not remove the requirement for the necessary approvals or subsequent ratification.
Eskom said officials effectively faced a choice between helping suppliers obtain and move fuel quickly or risking more severe and prolonged load shedding.
“Eskom faced a choice between enabling suppliers to rapidly source and move fuel into Eskom’s diesel supply chain or accepting a materially greater risk of prolonged higher stages of loadshedding,” the utility said.
Suppliers were already struggling to deliver
The revelations have raised further questions because some of the payments were made while suppliers were reportedly struggling to provide diesel at the required rate.
Minutes from a high-level Eskom meeting on 23 February 2025, during Stage 6 load shedding, recorded head of generation Bheki Nxumalo expressing concern about the performance of contractors.
“Obviously we’re not happy … these current contractors are just not performing at the levels that we want to see … It’s just too slow,” Nxumalo said, according to the meeting minutes reported by amaBhungane.
Despite those concerns, further payments were made. One supplier, Severino Industries, subsequently received payments of R379 million and R473 million, according to the investigation.
This has intensified scrutiny over whether emergency procurement decisions actually achieved their intended purpose of securing diesel for Eskom’s emergency generators.
The R21bn contract under scrutiny
The controversy centres on Tender MWP2197GX, a contract worth about R21 billion for diesel supply and storage for Ankerlig.
The arrangement was designed partly to address Eskom’s limited on-site storage capacity. By using additional private storage facilities, the utility could have access to larger quantities of diesel when the electricity system was under severe pressure.
AmaBhungane subsequently investigated the contracts and reported that Eskom had made billions of rands in advance payments and recorded diesel as received in its accounting system.
In August, the investigative organisation reported that 40 million litres of diesel, worth more than R1 billion at current prices, had been recorded as received in July 2025, while only a fraction was physically present at the Burgan Terminal at the time of its investigation.
Eskom disputes the suggestion that diesel is missing.
Its independent reconciliation and verification process covered purchases under the tender through 30 June 2026 and included site inspections, inventory records, stock certificates, supplier confirmations and contractual documentation.
The utility said the process found no discrepancy between the diesel procured, delivered, consumed, stored or available for scheduled delivery.
“Independent verification processes have confirmed that all diesel paid for was delivered and/or accounted for within Eskom’s supply chain or contractual terms,” Marokane said.
But questions remain over what ‘available’ means
The dispute is partly about the distinction between diesel physically stored for Eskom and fuel that a supplier says can be made available when Eskom requires it.
AmaBhungane has argued that the tender and contracts required diesel to be delivered into designated storage facilities before payment could be made.
Its investigation found that, in one case, Eskom had paid R721 million for 40 million litres recorded as received, while a significant portion was reportedly still outstanding.
Eskom, however, maintains that its verification found the fuel was either in storage or available for scheduled delivery and therefore accounted for.
That difference in interpretation is likely to remain a key issue as the fallout from the investigation continues.
A separate R38bn irregular expenditure finding
The R3 billion revelation comes as Eskom is also dealing with a much larger historical irregular expenditure finding.
The utility said it identified approximately R38 billion in irregular expenditure relating to earlier fuel-oil contracts that concluded in December 2024.
Eskom said this expenditure involved payments made without obtaining approval from the relevant delegated authority. It stressed that no financial loss had been identified in relation to the R38 billion and said the matter had been referred to its Group Security and Investigation function.
The R38 billion matter is separate from the R3 billion relating to the 2025 contracts.
Both matters have been reported through Eskom’s governance structures, to its external auditors and to National Treasury.
Investigation began after whistleblower concerns
Eskom launched its investigation in March 2025 following concerns about contract performance during the operational crisis, as well as information received through its whistleblowing and reporting mechanisms.
An independent forensic firm was appointed, with separate legal, reconciliation and verification reviews also undertaken.
In May 2026, Eskom said an interim investigation had identified non-compliance in the procurement and management of the contracts and that disciplinary action was being pursued against employees identified in the investigation. The utility also said criminal charges had not been ruled out at that stage.
By June, Eskom said it had received the independent forensic report, but the findings then went through further legal and governance review before final action was taken.
The completed investigation has now confirmed the payment and approval irregularities.
Eskom promises consequence management
Eskom says the findings are being used to strengthen procurement and contract-management controls.
Marokane said the utility had already begun implementing corrective measures, including strengthening oversight and contract-management processes.
“We will continue to act on the investigation’s findings, including implementing consequence management where non-compliance with governance processes has been identified,” he said.
He added that Eskom would enforce “consistent execution, accountability and monitoring of controls” to ensure its procurement processes remained robust and transparent.
The latest findings come at a particularly significant moment for Eskom.
The utility has made substantial progress in stabilising the electricity grid, with improved generation performance and a dramatic reduction in its reliance on diesel. Eskom said on 28 August that its year-to-date diesel expenditure had fallen by R4.89 billion, or 82.38%, compared with the same period the previous year.
That operational improvement has helped strengthen Eskom’s finances and reduce pressure on the grid.
But the diesel investigation illustrates that restoring generating capacity is only one part of Eskom’s recovery. The utility must also demonstrate that billions of rands in public money are being spent through transparent, properly authorised and enforceable contracts.
The R3 billion finding therefore leaves a difficult question hanging over Eskom: even if no diesel ultimately went missing, why were billions of rands paid outside the rules designed to protect the utility and the public purse?
Economy
Kimberley’s Benjie makes history with MasterChef SA win and R1 million prize
Andrew “Benjie” Benjamin has cooked his way into South African television history after being crowned the winner of MasterChef South Africa Season 6.
The 40-year-old home cook from Kimberley in the Northern Cape beat Durban finalist Candice Meth in the tense finale on Sunday, 16 August, walking away with the coveted title and a R1 million cash prize. His victory also made him the first contestant from the Northern Cape to win the competition.
For Benjie, the achievement was about far more than winning a reality television competition.
“I thought I wouldn’t even make it past episode two,” he admitted, crediting his wife for encouraging him to remain in the competition and take it “one episode at a time”.
He said the victory was particularly meaningful because of what it could represent for his family and people from his home province.
“There was a time when I thought that I wouldn’t make it even past episode two,” Benjamin said. “My wife encouraged me to stay on there.”
From high-voltage lines to the MasterChef kitchen
Benjie’s journey is unusual because cooking is not his full-time profession.
The Kimberley-born contestant works in high-voltage electrical line maintenance, dealing with hazardous electricity transmission lines, while cooking has remained a passion outside his day job.
He entered the competition alongside 19 other home cooks and quickly established himself as one of the contestants to watch.
Benjie earned his first Dish of the Day in only the second episode and went on to win seven challenges before reaching the final. One of those victories gave him a valuable 10-minute advantage for the final cook.
Throughout the competition, judges and fellow contestants affectionately nicknamed him “Benjie Baby”.
His playful approach to food also became part of his identity on the show. One of his standout creations was a sophisticated take on two-minute noodles, which he transformed into “Crêpes Suzette Benjette”.
Judge Chef Katlego Mlambo reportedly named it her favourite Benjie dish of the season, while a lamb pie also impressed London-based guest judge Chef Nokx Majozi.
A high-pressure finale
The final challenge saw Benjie go head-to-head with 39-year-old Candice Meth in a two-hour cook-off.
The finalists were tasked with creating a three-course meal that reflected their journeys throughout the competition.
Benjie prepared pan-fried salmon with leeks and white wine sauce as his starter, followed by pork belly with fennel and apple purées, mushy peas and red wine jus.
For dessert, he served meringue, vanilla sponge cake, raspberry coulis, chocolate crème pâtissière and vanilla ice cream.
The pressure was intense, particularly when his decision to bake the apples to intensify their flavour cost him precious time.
But he managed to complete his menu before the clock ran out.
Judges impressed by his final menu
Benjie had already been regarded as a strong contender, but his final performance ultimately convinced the judges that he deserved the title.
Ahead of the final cook, judge Justine Drake described him as a “dark horse”, while Zola Nene called him “laser-focused”.
His final dishes continued to impress.
The judges praised the execution of his salmon, while his pork belly stood out for its balance of flavours.
Nene went as far as describing the main course as something that could be seen “in a fine-dining restaurant”.
That combination of technical ability, creativity and composure ultimately gave Benjie the edge over Meth.
A victory for the Northern Cape
Benjie’s win has also become a source of pride for the Northern Cape, shining a spotlight on the province’s food traditions and homegrown culinary talent.
The new champion hopes his journey will encourage other people from the province to believe in their own abilities.
“We can make great food and compete with the best in the rest of the country,” he said.
He pointed to the diversity of the province, mentioning communities including Roodepan, Springbok, De Aar, Kuruman and the Kalahari as places with their own flavours and cooking traditions.
“Hopefully, my journey gives people the confidence to express themselves in the kitchen, too,” he said.
What’s next for Benjie?
Despite winning R1 million and becoming South Africa’s newest MasterChef, Benjie is not rushing to abandon his career.
He has said he still loves his day job and believes there is room for both his electrical work and his passion for cooking.
“I still love my day job, but there’s a place for both the job and cooking in my life,” he said.
As for his prize money, Benjie has more grounded plans. He wants to make renovations at home and spoil the family members who supported him throughout his journey.
He has also hinted at exploring his love for noodles further, with the possibility of a cookbook centred on the versatile ingredient.
For now, however, Benjie Baby can savour a remarkable achievement – a home cook from Kimberley has conquered one of South Africa’s biggest culinary competitions and brought the MasterChef crown to the Northern Cape for the first time.
MasterChef SA Season 6 in context
The sixth season of MasterChef South Africa premiered in February 2026 and concluded on 16 August after 26 episodes. The competition is built around amateur cooks competing in a series of culinary challenges, with contestants judged on their technical skills, creativity and ability to perform under pressure.
Benjie’s victory therefore represents the culmination of months of competition – and a major milestone for a contestant who entered the kitchen as a passionate home cook and left as South Africa’s latest MasterChef champion.
