Chair expresses support for embattled executives. From Moneyweb.
By Antoinette Slabbert and Ciaran Ryan
Dave Nicholls, board chair of the South African Nuclear Energy Corporation (Necsa), confirmed on Thursday, 4 September, that five board members have resigned.
His confirmation comes after Chris Yelland, managing director of EE Business Intelligence, posted the news on the social media platform X late on Wednesday evening.
This follows a dispute about the possible suspension of the CEO Loyiso Tyabashe and CFO Precious Hawadi.
Nicholls nevertheless confirmed, on the facts before them, the remaining board members’ support for the two executives and said the Minister of Electricity and Energy, Dr Kgosientsho Ramokgopa, is in the process of filling the positions that are now vacant.
Read: Necsa inks MoU with China for nuclear cooperation
The board’s term ends in January, and Ramogkopa, in July, invited applications for suitable replacement candidates.
Moneyweb has learnt that some board members were dissatisfied with how board resolutions relating to executive remuneration were implemented and felt the board was not adequately informed about the matter.
There was apparently a move to suspend Tyabashe and the CFO Hawadi, though, according to Nicholls, no notices to suspend had been served on them.
The two executives argued in court that only the minister – not the board – has authority to suspend the CEO, and since the CEO appoints the CFO, only the CEO may suspend him.
Nicholls supports this position.
Moneyweb was told that the executives withdrew their court application following a request by Ramokgopa.
Read: Revamped Necsa prepares for the return of small nuclear reactors
The board upheaval comes against the backdrop of big plans at Necsa, including acquiring a new multi-purpose research reactor and revitalising the organisation’s capability to produce nuclear fuel.
Necsa is also positioning itself to play a key role in developing small nuclear reactors for the African market, an ambition Ramokgopa has been promoting enthusiastically.
Ramokgopa had not responded to Moneyweb’s questions by publication time. Any response will be added.
Necsa is one of the top producers in the world of nuclear medicine through its subsidiary, NTP Radioisotopes. Around 2020, the group was almost on its knees, with several consecutive disclaimers from the Auditor-General.
Under the board’s leadership, the group improved its audit outcomes with clean audits for key entities, recovering from a R200 million loss in 2021 to a profit after tax of more than R100 million in 2023/24.
