The counsel, the board said, would be empowered to interview any person who might be of assistance and could consider any evidence.

The counsel would report back to the board with recommendations. No specific timeframe was provided for such a report, however.

"The allegation not only brings Eskom into disrepute, but it also threatens to detract and distract the focus of the executive team and the CEO in particular from their critical job of restoring Eskom to operational and financial sustainability."

The allegation had been made by suspended chief procurement officer Solly Tshitangano, who wrote to Parliament’s Standing Committee on Public Accounts, which subsequently indicated that it intended investigating the matter.

The utility`s board said it unanimously and unequivocally stood against racism and sexism, as well as for transformation and employment equity.

It said it was also committed to transparency and would provide updates at critical stages of the investigation.