Tender dispute fuels ANC ire

A R1-billion housing tender is at the centre of a fierce power struggle raging within the ANC in Buffalo City Metro.

The project will see between 3000 and 5000 state houses built to replace thousands of shacks in East London’s Duncan Village township.

The contract was awarded to Western Cape-based ASLA Construction, in April.

But the company’s appointment by the metro’s bid adjudication committee, chaired by acting director of housing Thabo Matiwane, may now cost him a shot at a permanent post.

The metro is yet to fill various executive director posts advertised earlier this year.

It is understood that Matiwane was recommended for the full-time job by a selection panel headed by former housing mayoral committee head and SACP activist Nomiki Mgezi – a decision which allegedly did not sit well with the regional ANC leadership.

Mgezi has already been shown the door by the ANC leadership and demoted as mayoral committee head to ordinary councillor.

This after she allegedly defied party orders and recommended Matiwane as the top candidate.

The Saturday Dispatch reported two weeks ago that ANC regional secretary Pumlani Mkolo had instructed BCM mayor Zukiswa Ncitha to fire both Mgezi and health and public safety portfolio head Rufus Rwexu from the mayoral committee.

Ncitha followed orders but failed to explain the decision at last week’s council meeting where the moves were ratified.

Various sources within BCM and the ANC  confirmed that Mgezi was removed as a senior councillor because her selection panel had preferred Matiwane as the new housing director.

This went against the Mkolo-led regional executive’s decision that provincial human settlements department senior official, Dr Sijadu Mbanga, be appointed to the position.

“The awarding of this contract to this Western Cape company is what broke the camel’s back at the municipality,” said one municipal insider.

“The regional leadership, especially the secretary, were not pleased that this tender was awarded to this company which will not even donate anything to the ANC towards the 2016 local government elections campaign.”

Another source said this was not the only housing contract recently awarded by the city which “was not sitting well” with the regional ANC.

The source claimed the metro had recently awarded three housing contracts to “companies owned by unknown white people and which will not even donate a cent to our movement towards next election’s campaign”.

But ANC regional deputy chairman Xola Pakati yesterday said the party had never discussed the Duncan Village tender.

“We are a political structure of the region and we have never presided over any tender awarded by the municipality,” Pakati said.

He also denied that the awarding of the tender was related to the removal of Mgezi from the mayoral committee.

Ncitha could not be reached yesterday. Neither could Mkolo and Mgezi, while Matiwane this week refused to comment and referred the Saturday Dispatch to metro spokesman Keith Ngesi.

Ngesi confirmed that ASLA Construction had been appointed as “an implementing agent” for an urban housing project to address housing needs in Duncan Village.

He said ASLA’s responsibilities would include project management, geotechnical investigation and environmental impact assessment.

Ngesi added the company had to provide detailed designs of internal services and bulk services, consult with stakeholders and beneficiaries of the project and be responsible for construction of top structures.

According to Ngesi, the multimillion-rand project was expected to be completed “in the next three years”.

Even though it is said to be worth just under R1-billion, Ngesi would not divulge the amounts involved.

Instead, he only said “the contractor shall be paid an amount equal to the approved housing subsidy in respect of all the claims it may have for payment of work done”.

Numbers for ASLA rang unanswered.

subscribe

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.