According to information received from Eskom:
- The process to procure the boiler maintenance services went through the competitive open tender process and the successful bidders’ contracts started in January 2022. Babcock Ntuthuko was disqualified technically. The two service providers awarded the contract have proven that they have the capacity and capability to render the required scope of work.
- The procurement of goods by Eskom is done and should always be done in a manner that is equitable, fair, transparent, cost-effective and competitive. It was not a requirement to award the tender to Original Equipment Manufacturers (OEMs), however, Actom and Steinmuller are in fact the OEMs on certain power stations. However, that did not influence the tender evaluation outcome or award.
- Babcock Ntuthuko’s tender was not accepted due to its failure to meet one of the mandatory technical requirements. The supplier failed to submit the mandatory technical requirements. The supplier failed to submit the mandatory certification of ISO 3834 which was required and mandatory for technical evaluation.
It should be further noted that Eskom is committed to utilising experienced skills when it comes to working on the units, but where bidders in a procurement process do not meet the mandatory requirements, Eskom cannot accept those bids.
Remarks: Approved / Not Approved
Jacky Molisane Pravin Gordhan, MP
Acting Director-General Minister
Date: Date: