Energy analyst Ted Blom says it is concerning that Eskom has failed to pay its contractual obligations to global software company, Oracle. The power utility is involved in a contractual dispute with the South African arm of Oracle.
Oracle claims Eskom has underpaid by R7.3 billion for services it rendered, while the power utility says the amount due to Oracle is approximately R166 million, which it has offered to settle.
The power utility last week announced it has put contingency plans to reduce the risk of reliance on Oracle Corporation following the contractual dispute.
Blom is concerned about the impact of the dispute.
“Oracle has been a long time supplier of software and control systems at Eskom. It seems to me the contract was expanded in 2017 and it strikes me as madness that between 2017 and now Eskom has never been able to quantify and pay for its usage of the Oracle software and it also baffles me that the quantum is so big and it again shows that Eskom is not on top of the situation.”
Eskom says it has contingency measures in place to reduce reliance on Oracle: Sikonathi Mantshantsha
Source: SABC News (sabcnews.com)