Ntshalintshali’s Eskom appointment ‘questionable’, say experts

Although the announcement of the new Eskom board was largely welcomed, with many calling it “a step in the right direction”, the appointment of former Congress of South African Trade Unions (Cosatu) general secretary Bheki Ntshalintshali was “questionable”, according to experts.

Public Enterprises Minister Pravin Gordhan announced a new board for Eskom last Friday, which included experts in the fields of engineering, energy policy and electricity delivery, chartered accountants and attorneys.

However, following his departure from Cosatu, Ntshalintshali raised many questions regarding his capabilities and credentials, with political analyst Dr Levy Ndou questioning whether the former general secretary would be able to “fulfil his mandate” after he allegedly failed to deliver at Cosatu.

‘Does not meet minimum requirements’

“Compared to all other board members, he is the only one who does not meet the minimum requirements,” Ndou said.

“Unless he is going to be the voice that says we understand the extent of the challenge at Eskom, so the workers will also be able to understand the extent of the challenge at Eskom. That might be the only reason why, but it does not really make sense. He’s the last person to be a part of that board.”

The appointment of the new board was done in terms of the nomination requirements outlined in the Handbook for the Appointment of Persons to Boards of State and State-Controlled Institutions.

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Ndou said while there were workshops for the board, Eskom did not need “people who should be taught what to do because people want electricity now”.

“We don’t need someone who is going there to say I need time to fit in and understand the environment,” he said. “You need people who are going there to deliver and ensure electricity is being received by ordinary citizens on the ground.”

Labour analyst Tony Healy said it was difficult to say whether Ntshalintshali’s appointment would be of any value to Eskom. However, this was not the most important appointment needed at the power utility.

“I can understand the argument for it – there are many examples in Europe and Germany where you have unions on a board of directors, but it’s done in a particular way,” Healy said.

“There is board representivity which there won’t necessarily be in this case. And then I think there’s also strong argument for the need of an energy expert, or at least a person who has some degree of expertise in the sector. Because I think part of the problem with being on the board is that they might have managerial skills, but not necessarily energy-related experience and competence.”

Meanwhile, when asked about his appointment and the mixed reaction around it, Ntshalintshali said he had not yet been formally appointed to the board and could not comment.

“We still have to do the form and the concrete things that we need to do. We still have to send the confirmation forms and all those things,” he said.

“We have done it from [my] side, but we have not completed the necessary legal things.”

Cosatu welcomed his appointment and said he would “bring a wealth of expertise and experience to the Eskom board”, as he was previously deputy general secretary of the Chemical, Energy, Paper, Printing, Wood and Allied Workers’ Union, a union operating in the energy industry.

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“Mr Ntshalintshali brings decades of leadership experience as a former leader of Cosatu. He has been fully engaged with Eskom issues inside and outside of [the National Economic Development and Labour Council].”

“One of the challenges of the previous boards of the power utility has been their inability to manage industrial relations.”