Question NW1014 to the Minister of Public Enterprises
27 August 2021 - NW1014
Clarke, Ms M to ask the Minister of Public Enterprises
Whether, with reference to the building for accommodation that was built at Kusile by a certain company (name furnished), (a) What number of contracts has the specified company acquired from the Government, (b) Which departments awarded the specified contracts, (c) What were the total amounts of the contracts, (d) Were the contracts finalised within the entered contract price and (e) What amounts have been charged over and above the agreed amount of each contract?
Reply:
According to the Information Received from Eskom
a) Eskom had two dealings with Liviero Group in the past:
- Liviero Wilge Joint Venture (LWJV) - construction of 336 units on erf 165 Wilge Township.
- Liviero Civils – manhole construction at Kusile Power Station.
(b) Eskom Holdings SOC Limited
(c)(d)(e) Table 1 sets out details of total amounts of the contracts; whether the contracts finalised within the entered contract price and whether there were amounts charged over and above the agreed amount of each contract.
Table 1: Details of total amounts of the contracts; whether the contracts finalised within the entered contract price and whether there were amounts charged over and above the agreed amount of each contract.
|
Contract |
Liviero Wilge Joint Venture (LWJV) for the construction of 336 units on erf 165 Wilge Township |
Liviero Civils for a manhole construction Kusile Power Station |
|
(c) total amounts of the contracts; |
Initially, the total contract monetary value was R226.49 million. Subsequent contract modifications (six modifications in total) were implemented. The amount paid to LWJV was R632.64 million. |
The estimated value of the contract was R2 501 530. |
|
(d) were the contracts finalised within the entered contract price; |
Yes, the LWJV contract was finalised within the mandated contracted price, as it included the approved modifications and termination costs. |
Yes. the work was finalised within the contract price. |
|
(e) what amounts have been charged over and above the agreed amount of each contract? |
No amount was paid over and above the agreed contract. The amount paid to LWJV was R632.64 million. |
No amount was paid over and above the agreed contract. Upon completion of the work and an assessment, Liviero Civils was paid R 441 045. |