The prepaid electricity metres agreement between Tshwane Metro and PEU Capital will cost Pretoria residents an additional R400-million‚ said Cornelius Jansen van Rensburg‚ CEO of AfriBusiness.
A transfer period of six months‚ during which an additional commission of 9‚5% would be paid to PEU Capital‚ would amount to approximately R400-million — this amount was additional to the more than R800-million that had already been wasted by the contract‚ said Van Rensburg.
The legal team of AfriBusiness has already requested the settlement agreement for investigation purposes.
The Mayor of Tshwane‚ Kgosientso Ramokgopa‚ admitted at a media briefing in Pretoria on Wednesday that no tender process with regards to the electricity metres was followed before the appointment of PEU Capital.
“He further implied that the tender process was unnecessary‚ even though no legal reason could be supplied for the deviation of prescribed tender procedures‚” said Van Rensburg.
“It is clear that Ramokgopa deems his administration as superior to municipal‚ provincial and national legislation.”
The city council will roll out a new tender process within the next six months. PEU Capital will still be in control of all administrative processes until the successful tenderer bought over the remaining 14‚000 electricity metres from the company.
PEUs existing contract comes to an end on June 30.
Further complications‚ said Van Rensburg‚ included the announcement by Jason Ngobeni‚ the municipal manager‚ that the municipality also had plans to place water supply on similar prepaid metres.
Tshwane contract will cost residents an additional R400-million
The prepaid electricity metres agreement between Tshwane Metro and PEU Capital will cost Pretoria residents an additional R400-million‚ said Cornelius Jansen van Rensburg‚ CEO of AfriBusiness.
A transfer period of six months‚ during which an additional commission of 9‚5% would be paid to PEU Capital‚ would amount to approximately R400-million — this amount was additional to the more than R800-million that had already been wasted by the contract‚ said Van Rensburg.
The legal team of AfriBusiness has already requested the settlement agreement for investigation purposes.
The Mayor of Tshwane‚ Kgosientso Ramokgopa‚ admitted at a media briefing in Pretoria on Wednesday that no tender process with regards to the electricity metres was followed before the appointment of PEU Capital.
“He further implied that the tender process was unnecessary‚ even though no legal reason could be supplied for the deviation of prescribed tender procedures‚” said Van Rensburg.
“It is clear that Ramokgopa deems his administration as superior to municipal‚ provincial and national legislation.”
The city council will roll out a new tender process within the next six months. PEU Capital will still be in control of all administrative processes until the successful tenderer bought over the remaining 14‚000 electricity metres from the company.
PEUs existing contract comes to an end on June 30.
Further complications‚ said Van Rensburg‚ included the announcement by Jason Ngobeni‚ the municipal manager‚ that the municipality also had plans to place water supply on similar prepaid metres.
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