The entire board of the Central Energy Fund (CEF) has been reportedly suspended by Energy Minister Mmamoloko Kubayi, Business Day reported on Tuesday.
UPDATE: Minister of Energy Mmamoloko Kubayi later said that reports on Tuesday that she suspended the Central Energy Fund’s (CEF’s) board members were not accurate.
According to the report, Kubayi met with members of the board at a meeting in Pretoria last Thursday to announce her decision. The minister has asked the board to explain their role in the secret disposal of 10.3 million barrels of South Africa’s strategic fuel reserves by the Strategic Fuel Fund (SFF) in December 2015.
Earlier this year in May, Kubayi confirmed to parliament’s portfolio committee on energy that the fuel stocks were “sold” and not rotated, as was claimed by her predecessor, Tina Joemat-Pettersson, last year.
Kubayi is reported to have not appointed interim board members and some executive committee members at the state-owned national energy utility.
The board members – who include chairperson Luvo Makasi, acting CEO Mojalefa Moagi, chief financial officer Lufuno Makhuba and company secretary Abdul Haffejee – had until 5pm on Monday to respond to questions from the minister, but sources claimed they had done so individually.
The suspensions came as the CEF’s financial results were meant to be approved by the board later this week.