Question NW2963 to the Minister of Public Works

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17 October 2017 - NW2963

Profile picture: Figg, Mr MJ

Figg, Mr MJ to ask the Minister of Public Works

(1) Whether any contractors that entered into a contract with his department had their contracts ceded or cancelled in the past financial year; if so, what are the reasons for the cession or cancellation; (2) Whether his department incurred any financial losses as a result of the cession or cancellation; if so, what are the details of the financial losses? NW3282E

Reply:

  1. and (2) Yes, details are as follows:

BLOEMFONTEIN REGIONAL OFFICE

WCS

SERVICE PROVIDER

PROJECT NAME

DATE CANCELLED

  1. REASON FOR CANCELLATION
  1. FINANCIAL IMPLICATIONS

049859

Moretlo Consulting CC

Tempe repairs and renovations to building 1,2,5, to 8 and 21 at MPA

20 May 2016

Consultant not providing monthly financial reports as per contract and not attending project meetings even after the warning the letter was issued.

There will be no financial losses to be incurred by the Department as a departmental quantity surveyor was appointed to execute the quantity surveying functions until project completion.

051856

CENTRAL BRIDGE TRADING 389 CC

Vrede Police Station:

Condition Based Maintenance

11 Aug. 2016

At contract completion the contractor was not even 48% complete with project work. The contractor was put on terms in several project and site meeting but the work on site was not progressing at all.

The financial losses can only be known when another contractor is appointed to complete the project and when the project is complete. We are on advertisement stage

052133

Pegas Trading CC

Deeds Office Upgrading of sewer system

19 Sept. 2016

The contractor delivered poor progress on site and ultimately abandoned site.

The financial losses can only be known when another contractor is appointed to complete the project and when the project is complete. We are on advertisement stage

043244

KEREN KULA CONSTRUCTION (PTY) LTD

Bloemfontein Central Government building construction of the office block

22 Sept. 2016

The contractor filed for voluntary liquidation

The financial losses can only be known when another contractor is appointed to complete the project and when the project is complete.

CAPE TOWN REGIONAL OFFICE

WCS

SERVICE PROVIDER

PROJECT NAME

DATE CANCELLED

  1. REASON FOR CANCELLATION
  1. FINANCIAL IMPLICATIONS

053916

Vino Building & Multi Projects

Albertinia, Heidelberg and Mossel Bay: Magistrates Offices: Construction of Facilities For People with Disabilities

06 Dec. 2016

Site handed was over on 14 September 2016 but the contractor never commenced with any work.

The financial implication will be known once the replacement contractor is appointed and project completed. The award for the tender is anticipated for the 2017/11/09

PORT ELIZABETH REGIONAL OFFICE

WCS

SERVICE PROVIDER

PROJECT NAME

DATE CANCELLED

  1. REASON FOR CANCELLATION
  1. FINANCIAL IMPLICATIONS

049997

 

Poenie’s Builders CC

Graaff Reinet SAPS Academy : Complete Upgrading of Existing Boundary Fence to the Complex

17 Aug. 2016

Poor performance by Contractor as well as cash flow problems and lack of progress after several warning letters were issued by Consultants and Project Manager.

There will be financial implications. The replacement contractor was appointed in September 2017 and the exact financial implications will be determined at the completion of the completion contract.

050144

Twizza Civils and Building CC

Port Elizabeth : SAPS Southdene Police Garage: Complete Construction of Boundary Wall and Fencing

03 Mar. 2017

Poor performance by Contractor as well as cash flow problems and lack progress after several warning letters were issued by Consultants and Project Manager.

The financial implication will be determined once the completion contract is in place and project completed. We are at adjudication stage of the SCM process in this regard.

JOHANNESBURG REGIONAL OFFICE

WCS

SERVICE PROVIDER

PROJECT NAME

DATE CANCELLED

  1. REASON FOR CANCELLATION

(2) FINANCIAL IMPLICATIONS

023106

Masutanaka Trading Enterprise

Oberholzer Magistrate Office: Security measures Upgrade including minor works: Completion contract.

23 April 2015

The contractor abandoned the site.

The completion started on 01st September 2016 and completed on the 28th July 2017. The project is on 12 months defects liability period and the final account will determine the full financial implications of the terminated contract.

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