Gauteng health to advertise new security tender as R708m 'wasted' on monthly contracts

The Gauteng health department has irregularly spent more than R700m on security for the province's hospitals, as it admitted to spending R59m on month-to-month contracts.

This was revealed in statements from the DA's Jack Bloom and the department respectively.

Gauteng health and wellness MEC Nomantu Nkomo-Ralehoko on Tuesday announced that the department was in the process of advertising a new tender which is anticipated to be awarded early in the new financial year of 2023/2024.

“The current situation is unacceptable, as the department is spending more than R59m on month-to-month security contracts.

“The contracts are rolled over irregularly as there is no contract in place, only service level agreements are used to manage the services,” she said.

The R59m amounts to R708m over the past financial year.

She confirmed that the past two tenders were advertised and cancelled due to irregularities raised “with the specifications as identified by Probity Auditors”.

Bloom offered an alternative explanation, saying: “I suspect there has been deliberate sabotage of the security tenders, as politically connected people likely benefit from the existing contracts”. 

“These contracts are poor value, as there have been major thefts at hospitals like Charlotte Maxeke Johannesburg and Chris Hani Baragwanath.” 

He said contracts were last awarded in 2014 but instead of lapsing two years later, were “extended on a month-by-month basis despite annual warnings by the auditor-general that it is irregular expenditure”.

He welcomed the MEC's announcement on the advertising of the contracts, saying the DA would monitor the process closely. 

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