Sol pays millions for stagnant development

ANOTHER payment has been made to the contractor who was awarded a R25.8 million tender to upgrade the Eagle Street and Legaeng pump stations in Roodepan, despite the site being largely abandoned for some time.

The contractors had sought clarity from Sol Plaatje Municipality last week regarding whether the project would still proceed as workers were not paid.

The R4.2 million payment was signed off by the municipal manager, Thapelo Matlala, on May 9 in his capacity as the acting director of infrastructure and services.

An amount of R500 000 was deducted from the main amount, to pay the SA Revenue Service (Sars) on behalf of the service provider, to assist them in becoming tax compliant.

The acting director of infrastructure and services, Phetole Sithole, was suspended on April 24, shortly after refusing to approve the R4.2 million payment due to the contractor’s non-compliant status and concerns regarding the flouting of supply chain management processes.

Sithole was reinstated as the acting director of infrastructure and services during a council meeting on May 10.

The R4.2 million payment is over and above the R2.2 million that was paid for site establishment in December 2022, although not much progress has been made since the latest contractor took over the site.

A half-constructed building, which has no roof or windows, and a pile of bricks are the only evidence of any activity having taken place at the Eagle Street pump station.

The pump stations are not operating and there is no construction equipment such as earth-moving machines, graders and generators on site.

During load shedding, the pump stations do not operate and overflowing raw sewage has to be manually drained at the Legaeng pump station, while Roodepan, Lerato Park and surrounding areas are continually experiencing sewage leakages.

Sol Plaatje Municipality spokesperson Thoko Riet said the payment to the contractor was submitted and approved by the consultant and was in line with the bill of quantities.

“The municipal manager approved the payment as the reasons why the then acting executive director based his decision on at the time were addressed, so there was no reason not to effect the payment,” said Riet.

“The municipal manager signed on behalf of the acting executive director of infrastructure and services, since he was the only authorised person to approve the payment as there was no acting executive director at the time. It should be noted that the executive director has a delegated authority from the municipal manager for all the approvals he makes.”

Riet explained that the acting executive director of infrastructure and services was not suspended for refusing to process the R4.2 million payment.

“His suspension was based purely on the charges brought against him.”

She added that the claim was paid according to progress made on site.

“The relevant equipment used will depend on what sort of activities are taking place at the site,

“As far as we know the contractor returned to the site after they received payment. The contractor was not paid for several months, and it is within its contractual rights to suspend certain activities pending payment.”

Riet indicated that the municipality paid R500 000 to Sars on behalf of the contractor, in accordance with a garnishee order from Sars.

She stated that the pump stations were operational.

“However, they are operated manually while they are being upgraded.”