Abolish tender system: EFF in Gauteng

25 October 2016 - 15:06 By TMG Digital
subscribe Just R20 for the first month. Support independent journalism by subscribing to our digital news package.
Subscribe now
The Economic Freedom Fighters’ deputy chairperson in Gauteng‚ Mandisa Mashego‚ at Pretoria Central.
The Economic Freedom Fighters’ deputy chairperson in Gauteng‚ Mandisa Mashego‚ at Pretoria Central.
Image: EFF

The Economic Freedom Fighters in Gauteng has called on the provincial government to abolish the tender system and adopt a policy which does not include contracts with the state.

The call was made by the EFF in the Gauteng legislature after Finance MEC Barbara Creecy announced that the open tender system would become law in the province.

  •  

EFF MPL Mandisa Mashego told the legislature that the tender system had failed to address inequalities and create the much needed jobs in the country's economy. Instead‚ Mashego said‚ the tender system had benefited cronies of the African National Congress and other corrupt individual.

"Remove the tender system. It is just a waste of our time. Abolish the tender system which exploits black people... establish a state construction company‚" said Mashego.

The open tender system aims of prevent corruption by allowing the public and members of the media to view how companies get business from provincial government. An independent probity auditors scrutinize every phase of the tender evaluation process.

This system was first introduce in 2014.

The first tenders to be opened to the public was the banking tender and the Cedar Road tender‚ together worth R145 million. But this has increased to 72 projects in Gauteng worth R10.4 billion.

Creecy said the open tender system played a crucial role in supporting small businesses in the province.

"Public procurement is playing an important role in developing the basic capabilities of small companies‚ including township enterprises‚ to participate in and benefit from growth processes. Because we are doing this transparently‚ ethically and with integrity‚ we are facilitating equality of opportunity and economic inclusiveness‚" said Creecy.

In the 2015/16 year provincial government spent a total of R25billion on goods and services of which R19 billion went to black-owned companies‚ 20% to companies owned by women and 9.3% to youth-owned companies. The open tender system is expected to become law in 2017.

- TMG Digital

subscribe Just R20 for the first month. Support independent journalism by subscribing to our digital news package.
Subscribe now