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Airport tender divides RFP

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Mohloai Mpesi

THE controversial M184 million Moshoeshoe I International Airport refurbishment project has caused a major rift within the ruling Revolution for Prosperity (RFP).

So serious is the matter that some RFP Members of Parliament (MPs) had threatened not to support the passing of the national budget unless Prime Minister Sam Matekane took drastic action to curtail corruption that is increasingly plaguing his administration.

The MPs cite alleged corruption by the Ministry of Public Works and Transport in the M184 million project to refurbish Moshoeshoe 1 International Airport.  The project is alleged to have been “corruptly” awarded to LSP Construction while Minister of Public Works and Transport, Matjato Moteane, is accused of blatant conflict of interest after his “former” company was part of the winning bid for the lucrative project.

Minister of Finance and Development Planning, Retšelisitsoe Matlanyane, is set to present the national budget to Parliament on Wednesday.

Prime Minister Matekane seems to have implored his MPs to toe the line and avoid sabotaging the government by not approving the budget.  He urged them to approve it while graft allegations in the airport tender are probed.

Mr Moteane’s former company, Khatleli Tomane Architects, was part of the consortium awarded the tender, allegedly under dubious circumstances, alongside LSP Construction as the main contractor, MPAMOT as the project manager and Mothapo Consulting (PTY) LTD as the electrical and mechanical engineers.

The Public Accounts Committee (PAC) has been investigating the alleged corruption in the awarding of the controversial project.

The evaluation team at the ministry has been criticized over how it handled the project.

The refurbishment budget had also inexplicably ballooned from the initial M50 million allocated by Parliament to M184 million. There are also concerns about the lack of consultation with the Department of Civil Aviation, which is responsible for ensuring compliance with international standards. In fact, that department says it was never consulted at all, casting serious doubts as to the legitimacy of all that has been done hitherto in relation to the project.

The PAC had summoned key officials, including Principal Secretary, Tšepang Koele, to provide further clarification on the matter.

During one of the hearings last month, the PAC was shocked to learn that LSP Construction received high evaluation scores despite failing to meet critical requirements for a government contract.

The Principal Quantity Surveyor, Thebe Tiheli, admitted to inconsistencies in his scoring. Initially, he claimed prior experience in evaluating large projects, but under pressure, he admitted he had no experience with Design and Build tenders. Despite this, he was part of a five-member evaluation panel, with only three members signing off on LSP Construction’s advancement.

PAC members uncovered serious flaws in the scoring process. Mr Tiheli awarded 18 out of 20 marks for experience, despite the company failing to provide supporting documents. Under questioning, he admitted this was a mistake and that zero marks should have been given instead. Similarly, LSP Construction received 14 out of 15 marks for methodology, despite missing key International Civil Aviation Organisation (ICAO) standards.

Committee members, including Chairperson ‘Machabana Lemphane-Letsie, criticised Mr Tiheli’s actions, highlighting violations of the Procurement Act and raising concerns about fairness and transparency in the tendering process.

Furthermore, the PAC members visited the airport in Mazenod to check the works LSP had already done which warranted a payment of M7 million which had already been made to LSP, with another M3 million being prepared.  They dismissed the work as “frivolous”.

The PAC is expected to present its findings to Parliament tomorrow or Tuesday, along with its recommendations.

LSP has in turn vehemently rejected claims that it was “corruptly” awarded the tender and that the project cost was inflated from M50 million to M184 million. It maintains that the tender was lawfully awarded after a “fair” bidding process.

LSP chairperson, Andre Bothma, clarified that his company signed a design and build contract on 29 August 2024 for the refurbishment of the Moshoeshoe I International Airport Terminal Building, Roof Covering, and External Cladding. He denied any knowledge of the alleged initial M50 million tender amount.

It is against this backdrop that premier Matekane, alongside the RFP’s national executive committee — which includes representatives from the Youth League, Women’s League, and Men’s League committees — convened to discuss issues surrounding alleged corruption in the airport project this past Wednesday.

During a closed-door meeting, some RFP members and MPs argued that the national budget for the fiscal year 2025/26 should not be passed due to the involvement of certain ministers in corrupt activities. They insisted that the airport project in particular be halted until investigations were concluded and issues rectified.

However, according to an authoritative source, who requested anonymity for fear of reprisals, Prime Minister Matekane directed that the project should continue, with investigations into corruption taking place simultaneously.

The source, an RFP legislator, stated that it was evident that Mr Matjato had a conflict of interest in the project. He argued that the Prime Minister erred by insisting the project continue while investigations were ongoing. Instead, the project should be halted until the investigations are completed, and any mistakes rectified.

One source said: “I support the budget, but we have issues with the disorganization in some ministries. There is an ongoing investigation by PAC regarding Moshoeshoe I International Airport, and the report will be tabled next week. The biggest problem is the conflict of interest involving the relevant minister (Matjato) and misprocurement in that ministry.

“The caucus decided that the project should continue, but the corrupt individuals should be investigated. However, it’s wrong for the Prime Minister to insist that a corrupt project continue. There was misprocurement in the Ministry of Public Works, which indicates that the project should be paused.

“Investigating those involved should include the contractor, who may also be corrupt, but nothing was said about that,” the source added.

According to another MP, the Ministry of Public Works and Transport should not receive its budget until its issues are resolved.

“I cannot approve funding for a ministry that can’t account for public funds. We need to go back to the drawing board to correct these issues. Those with decision-making power must heed the committee’s recommendations for us to move forward. If not, the project should halt. The Prime Minister instructed us to support the budget and continue the airport project, with investigations into those involved in corruption happening at the same time. This was not a caucus decision, but an instruction from the Prime Minister,” the MP said.

He continued: “This situation….forces us to consider whether to support an issue that is flawed or fix it should the PAC recommend as such.  Saying people involved in corruption should just move on and benefit from the fruits of their corruption is untenable.

“We want clean governance and proper administration. I will not allocate funds to a corrupt ministry. Ministries without issues should receive their budgets to continue working. Those that don’t should be held accountable”

Another source echoed the same sentiment, confirming that Prime Minister Matekane instructed the caucus to support the budget and continue with the airport refurbishment project.

“We wanted the Prime Minister to address this issue of corrupt ministers before the budget could pass.

“However, the instruction from the Prime Minister was clear: the project should continue, and we should support the budget, just like that,” the source said.

RFP spokesperson, Mokhethi Shelile, declined to comment, stating, “That was a closed meeting for RFP members, and the media was not invited. We would have invited the media if it had been an open meeting. I will not comment further.”

Mr Shelile stated that the budget would be approved in its entirety to avoid causing a crisis in the country. He indicated that he would comment on the airport issue once the Public Accounts Committee (PAC) had tabled its report.

“The budget will pass, and stopping it would have serious consequences for the public service, as many sectors would be affected. Even if there are calls to halt the budget, it is not a simple matter. Halting the budget is not a practical solution.

“As for the airport issue, the PAC’s report has yet to be presented to Parliament. We don’t know the findings or recommendations yet. We can’t jump to conclusions. Once the report is tabled, Parliament will decide whether the project should continue or be halted,” Mr Shelile said.

 

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