Question NW609 to the Minister of Communications, Telecommunications and Postal Services

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18 April 2019 - NW609

Profile picture: Stubbe, Mr DJ

Stubbe, Mr DJ to ask the Minister of Communications, Telecommunications and Postal Services

(1) Whether (a) her department and/or (b) any entity reporting to her contracted the services of a certain company (name and details furnished), in each of the past 10 financial years; if so, what (i) number of contracts were signed, (ii) was the date on which each contract was signed, (iii) was the duration of each contract, (iv) services did the company render and (v) was the monetary value of each contract in each case; (2) Whether any irregular expenditure relating to the contracts was recorded and/or condoned in each case; if so, what are the relevant details?


I have been advised by the departments as follows:

1. (a) DTPS and DoC have not contracted the services of Bosasa now known as African

Global Operations.

(i-v) Not applicable

(b) USAASA and SAPO are the only entities that have contracted services from Bosasa.

(i) Both, USAASA and SAPO had one contract each signed with Bosasa.

(ii) USAASA signed the contract on 29 August 2014 and SAPO signed on 6 December  2004.

(iii) USAASA signed the contract for a duration of 36 months. SAPO’s contract was for a duration of two years with extensions after the original period until March 2010.

(iv) Bosasa provided ICT equipment and ICT services to schools, public access centres and public address areas for USAASA. At SAPO guarding service were rendered by Bosasa

(v) USAASA indicated that three purchase orders were issued to the value of R5 615 021.30, SAPO indicated that the total monetary value of the contract was not indicated as this was a rate-based contract and the total spent during the period was R10,193,035.56

2. USAASA had an irregular expenditure of R737 437.50 with regard to Bosasa. The irregular expenditure relates to the contract extension beyond 15% threshold without National Treasury approval. USAASA indicated that the amount is not yet condoned.

SAPO had no irregular expenditure with regards to the Bosasa contract.

Ms. Stella Ndabeni-Abrahams, MP


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