The City of Johannesburg Special Investigation Unit is expected to investigate the awarding of a tender worth about R1 billion at City Power.
This follows after unsuccessful bidders challenged the awarding of the tender at the Johannesburg High Court which declared the tender invalid and set it aside at the end of May. As a result, City Power chief executive officer Lerato Setshedi forwarded a request to the City’s investigation unit to probe the awarding process of the contract.
The tender was a general labour contract for technical work within City Power and was awarded to 61 companies for various skills. Setshedi said he was concerned over the court’s ruling to interrogate the procurement process during the appointment of the companies. He said although the court had not ruled out any corruption, it would restore confidence on residence of the City if the head of the investigation unit, General Shadrack Sibiya investigated the case.
“Any internal investigation by City Power would not go far enough, purely because we cannot investigate a situation where our own officials are suspected of possible wrong doing, and also because City Power does not have the necessary skills and resources to do a proper investigation,” said Setshedi.
The investigation is expected to be complete in 180 days and findings to be made public as prescribed by the court ruling. According to City Power, the court in its ruling stated that the entity’s definition of asset register as opposed to that of the complainant may have differed which may have led to unfair penalising and exclusion of the complainant in the appointment of the tender.
Furthermore, the court was of the opinion that the manner in which City Power tested the complainant’s electricians against that which the complainant had expected their electricians to be tested and scored, may have led to City Power unfairly excluding them.
MMC for Environment and Infrastructure Nico de Jager said he supports and stands by City Power’s request for Sibiya to investigate the matter.
He said he expected Setshedi’s disciplinary action when the investigation was complete and findings have been made public. The initial bidders of the tender are expected to re-submit their applications for evaluation.
“In implementing the order, City Power will continue using the services of the companies initially awarded the tender, to ensure that service delivery is not compromised at all times. This will go on for a period not exceeding 90 days as ordered by the court,” concluded Setshedi.
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