Questions over Zuma ally's R1bn tender
2013-01-18 09:45
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Johannesburg - A R1.25bn contract to supply electricity
meters to the City of Johannesburg was manipulated to benefit Durban
businessman Vivian Reddy, said to be a close friend of President Jacob Zuma,
according to a report on Friday.
The Mail & Guardian reported that a number of key
discrepancies in the contract had been uncovered.
There were detailed allegations that an initial technical
evaluation scoresheet was amended to improve the results for Reddy's company,
Edison Power.
The revised scoring had pushed another bidder, Hefcom, below
the cut-off 70% technical score.
When price was factored in, Hefcom would have scored better
than Edison. Hefcom's bid was also half the cost of Edison's.
According to the Mail & Guardian, a letter informing
Edison it had won the bid was dated before City Power supply chain management
even received the bid recommendation or the chair of the adjudication committee
had signed off on the decision.
Edison's share of the contract was increased from the
initial recommendation of a R600m share of an R800m contract to an exclusive
contract for R1.25bn.
The City and its utility City Power, which procured the
meters, had denied any irregularities, according to the newspaper.
According to the report there was no evidence suggesting
foul play on the part of Reddy or Edison.
- SAPA
