Medupi: Where are the contracts?

The DA welcomes the fining of all contractors responsible for delays at Eskom's Medupi Power Station. This follows our repeated calls for those responsible for the delays, including the ANC-linked Hitatchi Africa, to be held accountable.

The numerous delays have been extremely damaging to our economy. 

Indeed, the deadline for the roll out of the project has been delayed three times and subsequently pushed the cost of the venture from R91.2 to R105 billion, excluding other costs such as owners' development and interest costs. 

South Africa's energy grid has been strained this year as a result of these delays. 

The DA, however, is also still awaiting the delivery of contracts between Eskom and its contractors after I made an application for these documents in terms of the Promotion for Access to Information Act, in August this year.

According to Eskom, the contractors have been approached for the handover of these documents. We urge the respective parties to act without further delay. 

The public and Parliament have the right to scrutinise the various agreements in order to determine whether any strict controls have been put in place to ensure that parties meet their deadlines and targets, as well as what action can be taken against the contractors for failure to do so.  I will be writing to Eskom to follow up on this request and ask for a date for when I can expect delivery of the contracts. 

We cannot be complacent with low energy security. Our economy cannot grow and create the jobs we need to fight poverty without these major projects being completed within budget and on time. Eskom must now hand over the contracts so that Parliament can do its job of ensuring that these delays are not repeated in future. 

Statement issued by Natasha Michael MP, DA Shadow Minister of Public Enterprises, November 11 2013

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