https://www.polity.org.za
Deepening Democracy through Access to Information
Home / Statements RSS ← Back
Contractor|Financial|PROJECT|Projects|Road|Service|Services|Systems|Infrastructure
Contractor|Financial|PROJECT|Projects|Road|Service|Services|Systems|Infrastructure
contractor|financial|project|projects|road|service|services|systems|infrastructure
Close

Email this article

separate emails by commas, maximum limit of 4 addresses

Sponsored by

Close

Article Enquiry

City terminates poor-performing contractors

Close

Embed Video

City terminates poor-performing contractors

City of Johannesburg logo

12th May 2022

ARTICLE ENQUIRY      SAVE THIS ARTICLE      EMAIL THIS ARTICLE

Font size: -+

/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

Due to several project delays and poor workmanship, the Johannesburg Development Agency (JDA) has had to terminate the contracts of some of its service providers.

The total value of the contracts terminated is close to R244 million. About R88.5 million of that has already been spent by the contractors in question.

Advertisement

The process of appointing replacement contractors for the projects is currently underway, with most projects expected to resume in this financial year. 

The MMC for Development Planning in the City of Johannesburg, Cllr Belinda Echeozonjoku, has expressed concern at the project delays and poor quality of work from some of the JDA contractors, lamenting the impact this has on communities.

Advertisement

“Non-performing contractors not only cause unnecessary delays to much-needed community projects but also hinder people the opportunity to enjoy basic services. I have been consistent in calling for contractors that fail to deliver projects on time and hold the City to ransom to have their contracts terminated,” said Cllr Echeozonjoku.

On a recent oversight visit to Diepsloot and Blairgowrie to inspect projects that have been delayed due to poor-performing contractors, the MMC witnessed first-hand the shocking poor quality of some of the workmanship.

She has reiterated her support for the new JDA board and senior management on the work they are undertaking to turn the entity around.

“Most of the issues at JDA are caused by the lack of planning and organisational constraints. But I am happy that the new board, acting CEO and senior management are aware of the problems at the entity and are putting systems in place to deal with such problems,” she added.

The management team at JDA has introduced more stringent due diligence processes around the appointment of contractors, making it compulsory for each recommended contractor to submit certain documents and confirm liquidity before an award is made.

The acting CEO of the JDA, Siyabonga Genu, has said that the JDA has been going through instability in the recent past, which negatively impacted performance but management was confident that things were changing for the better.

“We have developed a consolidated procurement plan that is being tracked weekly by myself, as the acting CEO. We have also started talking around a long-term plan to introduce an e-tender process to create efficiencies and transparency. The planning for the next financial year has already started and we are optimistic that the current interventions will be evident,” said Genu.

The MMC reiterated that it is unfortunate that the situation has had to get to this point, as these projects are supposed to assist the City in getting the basics right; provide good road infrastructure; access to open spaces and access to healthcare facilities.

“The termination of these contracts also shows a major improvement in oversight and the JDA’s commitment to a well-run Joburg,” added Cllr Echeozonjoku.

 

Issued by The City of Johannesburg

EMAIL THIS ARTICLE      SAVE THIS ARTICLE ARTICLE ENQUIRY

To subscribe email subscriptions@creamermedia.co.za or click here
To advertise email advertising@creamermedia.co.za or click here

Comment Guidelines

 

About

Polity.org.za is a product of Creamer Media.
www.creamermedia.co.za

Other Creamer Media Products include:
Engineering News
Mining Weekly
Research Channel Africa

Read more

Subscriptions

We offer a variety of subscriptions to our Magazine, Website, PDF Reports and our photo library.

Subscriptions are available via the Creamer Media Store.

View store

Advertise

Advertising on Polity.org.za is an effective way to build and consolidate a company's profile among clients and prospective clients. Email advertising@creamermedia.co.za

View options
Free daily email newsletter Register Now