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The Portfolio Committee on Energy was briefed by the Minister of Energy, the Central Energy Fund (CEF) and the Strategic Fuel Fund (SFF) on the report of the sale of strategic fuel stock by the SFF.

The Committee welcomed the forensic investigation that will be conducted – and that will further look as to what happened in the sale of the strategic fuel stock by SFF.

Briefing the Committee, the CEF said taking into account the element of impropriety in the transaction of the sale of strategic fuel stock, the department recommended to conduct a thorough analysis on  financial impact and to conduct a thorough forensic investigation on the transaction.

However, the Committee was of the view that the boards of the CEF and SFF should be investigated on the sale of strategic fuel stock. The Committee refused to accept that one person from the SFF is in the wrong. Members of the Committee said something does not add up with regard to the report that was presented before the Committee.

The Committee questioned how one person who was the SFF’s CEO, COO and legal adviser could have been solely responsible for the sale of the strategic fuel stock that took place between December 2015 and January 2016.

Acting Chairperson of the Portfolio Committee on Energy, Ms Zukisa Faku, said what is clear from the briefing by the department and the CEF is that proper procedures and guidelines were not followed. The forensic investigation is welcomed as it will outline what happened and further information will be unfolded.

Issued by Parliamentary Communication Services on behalf of the Acting Chairperson of the Portfolio Committee on Energy, Ms Zukisa Faku