Sanral Called Out for Granting Chinese Companies Multi-Billion Rand Contracts Over SA Companies

• Business forum, Amadelangokubona, called out the South African National Roads Agency (Sanral) for snubbing SA companies
• The forum believes that Sanral awarding contracts to Asian companies was an act of “undermining” local companies
• Amadelangokubona national chairperson Thabani Mzulwini said that local companies have the capacity to undertake jobs

DURBAN - Local business forum Amadelangokubona has slammed the South African National Roads Agency (Sanral) for “undermining” local companies.

This is after billion-rand contracts were awarded to Asian companies last week. The contracts are for road and bridge construction projects.

Previously five tenders awarded to South African companies were cancelled due to their management’s failure to follow a board decision calling for projects over R1 billion to be evaluated.

Amadelangokubona national chairperson Thabani Mzulwini told The Witness that local companies have the capacity to undertake jobs that were required. He said the move by Sanral undermined local companies.

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Mzulwini said there was no discussion between Sanral and the forum regarding an arrangement that worked for both parties. He added that the existing companies could build and upgrade existing roads, and there was no reason why they should not be considered for the earmarked projects.

According to Engineering News, some scrapped projects included the R4.05 million Mtentu Bridge project on the N2 Wild Coast road which was awarded to the CCCC Mecsa joint venture and the R1.23 billion R56 Matatiele rehabilitation project in the Eastern Cape that was awarded to Down Touch Investments.

Citizens react to the contracts:

Steven Devenarian said:

“So we have no company in South Africa to build roads.”

Kabir Sangham commented:

“This would not be necessary if SA’s tenderpreneurs actually did the work stipulated instead of splashing the cash and then asking for more money. Ja ne?”

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Stuart Cloete posted:

“Local tenderpreneurs steal the money and never do the work.”

Penny Campling Laue wrote:

“What happened to support local and job creation for our people.”

Sipho Mahlasela added:

“Do we lack capacity?”

Company named in State Capture Report allegedly receives R76m for sub-standard work, says DA

Briefly News also reported the Democratic Alliance (DA) plans to lodge evidence with law enforcement agencies after it was uncovered that a company received contracts worth R76 million from the Free State administration.

Transport Minister Fikile Mbalula responded to a written parliamentary question from the political party. He said according to the Free State Department of Police, Roads and Transport, VNA Consulting was selected to train Community Development Project (CDP) road contractors in the Free State.

The company was paid more than R32 million in the 2019 to 2020 financial year and more than R44 million in the 2020 to 2021 financial year. However, Mbalula said no expenditure was incurred for remuneration during 2021-2022 since no services were rendered.

Source: Briefly News