Question NW1204 to the Minister of Public Enterprises
11 May 2016 - NW1204
Mazzone, Ms NW to ask the Minister of Public Enterprises
(1) What amount is the subcontract for cutting steel for 238 Badger vehicles awarded by Denel to a certain company (VR Lazer) worth; 2) did she approve the subcontract; if not, (a) why not and (b) who approved the subcontract; if so, why was it approved?
Reply:
(1) The orders placed on VR Laser as of 29 April 2016 on the Badger vehicle programme amount to R236 646 034.
(2) I do not approve sub-contracts
(a) Awarding of contracts is a business operational matter within the mandate of Management and the Board of Directors, depending on Delegations of Authority.
(b) Management awarded the contract in line with Denel’s procurement prescripts. The contract was awarded to VR Lazer as it presented the best value proposition to Denel for the services required.