Why is failed contractors not blacklisted?

16 May 2016

A company that caused a two year building delay by failing to complete the Randgate Clinic in Randfontein has not been blacklisted for further work by the Gauteng Provincial Government.

This is revealed in a written reply by Gauteng Department of Infrastructure Development MEC Jacob Mamabolo to my questions in the Gauteng Legislature.

According to Mamabolo, Anix Trading and Construction JV Mrazane was awarded a R36.8 million tender in September 2014 to build the Randgate Clinic.

The company was also awarded tenders in 2014 to do emergency repairs at Fred Clark Primary School for R8 million, and repairs at the Sizwile School for the Deaf for R19.7 million.

The school repairs were done satisfactorily, but penalties were charged as they could not finish on time.

Their contract to build the Randgate Clinic was cancelled as they had cash flow problems which affected their performance, but they were still paid R7.8 million.

I am puzzled why Anix has not been blacklisted from further contracts as it was late for two projects and failed in a third project that has resulted in extra expense and delays.

The provincial government has a poor record in choosing contractors who often fail to do the job or underperform in other ways.

Failed contractors are sometimes given new contracts as well.

It would be good policy for companies like Anix to be barred from all further provincial work.

Issued by Jack Bloom, DA Gauteng Shadow MEC for Health, 16 May 2016