Question NW2963 to the Minister of Public Works

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30 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?

Reply:

  1. and (2) Yes, the 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 Military Police Area Office.

20 May 2016

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

There will be no financial losses to be incurred by the Department of Public Works (DPW) 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 August 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 meetings 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. The Department of Public Works (DPW) is at advertisement stage.

052133

Pegas Trading CC

Deeds Office Upgrading of sewer system

19 September 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. The Department of Public Works (DPW) is at advertisement stage.

043244

Keren Kula Construction (pty) ltd

Bloemfontein Central Government Building construction of the office block

22 September 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

  • REASON FOR CANCELLATION
  • FINANCIAL IMPLICATIONS

053916

Vino Building & Multi Projects

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

06 December 2016

Site was handed 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 the project completed. The awarding of 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 South African Police Service (SAPS) Academy: Complete upgrading of existing boundary fence to the complex.

17 August 2016

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

The financial implication will be determined once the completion contract is in place and project completed. The Department of Public Works (DPW) is at the adjudication stage of the Supply Chain Management (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 Magistrates Office: Security measures. Upgrade includes minor works: Completion contract.

23 April 2015

The contractor abandoned the site.

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

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