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More woes for M186 million airport project

In Local News, News
March 18, 2025

…as parly committee recommends project be retendered

Mohloai Mpesi

THE corruption plagued M184 million Moshoeshoe I International Airport refurbishment project has hit yet another snag after a parliamentary committee this week recommended that the project be re-tendered and started anew.

The portfolio committee on the Economic and Development Cluster makes the recommendations in its review report of the 2025/2026 national budget.

It recommends that the Ministry of Public Works and Transport restarts the tendering process for the project due to alleged violations of the Public Procurement Act of 2023 in the initial adjudication process.

Another parliamentary committee, the Natural Resources Committee, last Wednesday refused to approve the M108.5 million allocated for the refurbishment of the airport when the public works ministry appeared before it to request its 2025/26 budget allocation. The refusal follows growing concerns over procurement irregularities and alleged corruption in awarding the project.

The project had initially been allocated M50 million in the 2024/25 fiscal year, of which M18 million had been utilized. However, Parliament has now blocked the release of another requested M108.5 million, effectively stalling the project.

Minister of Finance and Development Planning, Retšelisitsoe Matlanyane, has allocated M3.2 billion to public works in the next fiscal budget.

However, Parliament will not allow the portion allocated for the airport project, casting doubt on its timely completion and raising questions about continued corruption in the government’s procurement processes.

Procurement irregularities

The refurbishment project has been marred by allegations of corruption, including claims that the contract was awarded to a consortium involving Minister of Public Works and Transport Matjato Moteane’s former company, Khatleli Tomane Architects. The consortium also includes LSP Construction as the main contractor, MPAMOT as the project manager, and Mothapo Consulting (PTY) LTD for electrical and mechanical engineering.

The Public Accounts Committee (PAC) has been actively investigating the alleged corruption in the tendering process, including accusations of rigging of the bid in favour of LSP Construction, a company with no prior experience in airport rehabilitation projects. The committee had also conducted a site visit as part of its ongoing probe.

Furthermore, concerns have been raised that the Civil Aviation Department, which plays a critical role in ensuring compliance with international aviation standards, was completely sidelined in the whole refurbishment process.

Nonetheless, LSP chairperson, Andre Bothma, has maintained that his company won the tender after a fair bidding process, vehemently rejecting claims that the tender was inflated from M50 million to M184 million. He said in a recent statement he had never heard of the M50 million figure.

Natural Resources resistance

The ministry’s delegation—led by Mr Moteane, along with Principal Secretary (PS) Tšepang Koele, Deputy PS Katiso Ntoane, and several senior officials—faced a cold reception from the committee. The committee members, including Tšeliso Moroke, Moeketsi Motšoane, Mootsi Lehata, Thabiso Lekitla, and Lephoi Makara, refused to entertain the ministry’s request for additional funding.

Ms Letsoela, the Director of Build and Design Service (BDS), attempted to justify the project’s budget allocation by emphasizing its compliance with International Civil Aviation Organisation (ICAO) standards. However, she was interrupted by Dr Moroke, who stated that the committee was already well-informed about the matter and would not approve any further funds.

Legal challenges

Adding to the controversy, PS Koele and DPS Ntoane had previously attempted to halt PAC’s investigations into the project by filing a High Court application in January 2025 challenging its authority to probe the project. However, they withdrew the case before it could be heard. Two weeks ago, the committee refused to engage with the ministry until proof of withdrawal of the case was provided. Even after receiving this proof, the committee remained skeptical, questioning whether the ministry had the legal authority to sue PAC in the first place.

The Committee has recommended that the project be retendered due to violations of the Procurement Act of 2023.

“The Ministry of Public Works and Transport’s proposed capital budget of M108.5 million, earmarked for the Design Review and Rehabilitation of Moshoeshoe I International Airport Terminal Building Roofing, Coverings, and External Cladding project, should not be allocated to the Ministry. The Ministry has violated the Public Procurement Act of 2023, and therefore, the project should be re-tendered,” part of the report states.

Comply

Mr Moteane defended the ministry’s actions, asserting that the project had followed procurement regulations. However, he acknowledged that if the Committee of Supply, which has a final say, upheld the recommendations, they would have no choice but to comply.

“The Natural Resources Committee made its recommendations, and Parliament will now have to decide whether to uphold or reject them. If the Committee of Supply agrees with these recommendations, we will implement them. We have no reason to challenge the decision,” Mr Moteane said in an interview this week.

He said the ministry was awaiting the PAC report. Based on how PAC members were angry at how the project had been handled, their committee was likely to recommend re-tendering.

“The Natural Resources Committee’s recommendations stem from the pending PAC report. If PAC also calls for retendering, we will have to abide by that decision,” he said.

Mr Moteane nonetheless remains hopeful that the Committee of Supply might take a different stance.

“Knowing how crucial this project is, I believe the Committee of Supply will pronounce itself differently. After all, I was not present when the Natural Resources Committee made its recommendations, and I am unsure if there was full consensus among its members.”

The Committee of Supply, or Committee of the whole House, is a parliamentary mechanism used to scrutinize and potentially amend the government’s proposed expenditure as outlined in Appropriation Bills.

 

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