Question NW1816 to the Minister of Water and Sanitation

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27 September 2016 - NW1816

Profile picture: Baker, Ms TE

Baker, Ms TE to ask the Minister of Water and Sanitation

(1)(a)(i) From which country did her department import the desalination package plant in Richards Bay, KwaZulu-Natal and (ii) at what cost and (b)(i) who is operating the specified plant and (ii) at what cost; (2) what is the (a) capacity of the specified plant and (b)(i) cost of desalinating and (ii) selling price of each kilolitre of water; (3) whether the correct tender processes were followed to procure the specified plant; if not, what is the position in this regard; if so, what are the relevant details; (4) why did she not consider any South African companies before the procurement of the specified plant?

Reply:

(1)(a)(i) The Desalination Package Plant is supplied by a local company in KwaZulu- Natal.

(1)(a)(ii) The total costs of package plant amount to R250 million excluding VAT.

(1)(b) The packed desalination plant will be operated by Mhlathuze Water at a cost yet to be determined as discussions are still ongoing.

(2)(a) A total of 10Mega Litres per day will be produced by the desalination plant.

(2)(b)(i) The cost of the desalination plant is R250 million excluding VAT.

(2)(b)(ii) The selling price of each kilolitre of water is R3.96.

(3) My Department's supply chain procedures were followed as per National Treasury guidelines.

(4) A local company was appointed to procure these services.

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