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Sars Targets Syndicate Accused of Exacerbating Load Shedding

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Sars Targets Syndicate Accused of Exacerbating Load Shedding

The South African Revenue Service (SARS) spearheaded an intergovernmental operation spanning five provinces to disrupt a sophisticated coal smuggling syndicate. SARS alleges that this syndicate played a substantial role in exacerbating the country’s energy crisis and load shedding.

Sars Targets Syndicate Accused of Exacerbating Load Shedding

Tax Crimes and Syndicate’s Impact on Load Shedding

The operation was launched following information about tax crimes committed by the coal-smuggling syndicate. SARS stated that the success of the operation was due to exceptional intergovernmental cooperation and information sharing through the Natjoints Energy Safety & Security Priority Committee.

Provinces Affected and Key Suspects

The coal smugglers targeted in this operation operate in five provinces: Gauteng, Mpumalanga, KwaZulu-Natal, the Free State, and Limpopo. Among the suspects are former Eskom employees who are alleged to have facilitated procurement fraud, along with other individuals involved in diverting high-grade coal.

Gross Contraventions Discovered

SARS found links between individuals and related entities, uncovering possible gross contraventions from a tax perspective. These contraventions include non-registration for income tax, VAT, or PAYE; failure to submit tax returns; under-declaration of income; claiming undue VAT refunds; and making false submissions (fraud).

Sophisticated Smuggling Network

SARS suspects that the sophisticated coal-smuggling network involves both local and foreign nationals. The coal trucks, originally destined for power stations, are rerouted to designated coal yards. There, high-grade coal is replaced with low-grade or substandard product.

The high-grade coal is either exported or sold, while the low-grade coal is often blended with scrap or other materials and then delivered to power stations.

Impact on Eskom and Load Shedding

The low-grade coal is detrimental to the infrastructure of Eskom power stations, significantly contributing to the challenges faced by the utility in generating electricity for the South African grid.

SARS stressed that such operations are crucial in preventing the loss of revenue to the fiscus and ultimately aim to help South Africans return to a lifestyle without load shedding.

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Eskom Loadshedding will continue until 5:00 on Tuesday, as previously announced

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Eskom Loadshedding will continue until 5:00 on Tuesday, as previously announced

Until 05:00 on Tuesday, stage 4 loadshedding will continue. Until further notice, Stage 2 and 4 loadshedding will take place.

Eskom Loadshedding will continue until 5:00 on Tuesday, as previously announced

Monday, 10 July 2023: Stage 4 loadshedding is being implemented until 5:00 a.m. on Tuesday due to increased demand. On Wednesday, Stage 4 loadshedding will be implemented from 14:00 until 05:00, followed by Stage 2 loadshedding from 05:00 to 14:00.

Eskom Loadshedding Today

There will be a daily implementation of this pattern until further notice. A new update will be published if any significant changes are made.

As of now, 14 252MW of generating capacity has been damaged by breakdowns, while 4 118MW of generating capacity has been out of service for planned maintenance.

As of today, Duvha, Hendrina, Kendal, Kriel, Matimba and Medupi power stations have each reactivated a generating unit.

The Arnot and Tutuka power stations each had a generation unit out of service due to a breakdown during the same period.

Tutuka Power Station’s current capacity constraints are due to the delay in resuming two generating units. In order to restore service to the generating units, Eskom teams are working around the clock.

Members of the public are being encouraged to use electricity sparingly and efficiently, and we want to thank the people who do heed the call. During the period between 17:00 and 21:00, please turn off your geysers and pool pumps as this reduces demand, alleviates pressure on the power system, and contributes to fewer stages of load-shedding.

For Further Notice Visit Official Site 

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