ESWADE to construct 2 more earth dams
SIPHOFANENI – ESWADE intends to construct two earth dams and rehabilitate two others located in the Shiselweni, Lubombo and Hhohho regions.
ESWADE said they now invite tenderers from suitably qualified contractors, registered with the Construction Industry Council (CIC) of Eswatini under Category C3 and above to submit tenders for the construction and rehabilitation of earth dams in the above mentioned regions.
They said preference would be given to local contractors, with at least 60 per cent local shareholding. ESWADE emphasised that a compulsory clarification meeting and site visit would be conducted in consultation with the authorized representative for this contract at the time and date to be specified in the invitation to tender document which can be obtained at their head offices. ESWADE said a site inspection will be attended by a representative of the tenderer, whom they expect to be suitably qualified to comprehend the implications of the work involved and is in the direct employ of the tenderer.
Responsibility
“Each tenderer may, at his own expense and on his own responsibility, visit and examine the site and its surroundings, or cause this to be done on his behalf by a competent and responsible person, and is to obtain for himself all the information that may be necessary for compiling this tender,” emphasised ESWADE.
ESWADE also mentioned in the tender document that the tender was a Unit Price Contract and no liability can be accepted for late delivery of tenders as they will be rejected and not be evaluated.
“The contracting authority may, on its own discretion, extend the deadline for submitting tenders by issuing an amendment or notice to tenderers. In such cases, all rights and obligations of the contracting authority and the tenderer regarding the original date specified in the contract notice will be subject to the new date,” emphasised ESWADE.
Meanwhile, the contract has further availed opportunities for local companies to supply material and services for the Mpakeni Dam construction tender worth around E1.2 billion. The plant, equipment, and materials to be procured for the Mkhondvo-Ngwavuma Water Augmentation Project (MNWAP) are estimated to be worth 60 per cent of the overall tender.
The expected cost of the project is E2.6 billion, and the material to be utilised was estimated at around 45 per cent of the overall tender value, or about E1.170 billion.
Value
The estimated cost of the plant and equipment to be purchased was 15 per cent of the entire tender value, or around E390 million.
The anticipated cost of services and taxes for the tender was 25 per cent, or around E650 million. Taxes are thought to be worth roughly
E390 million (15 per cent of services), whereas services are worth an estimated E260 million (10 per cent). The African Development Bank (AfDB) and the government both provided funding for the project, making the tender non-exclusive. This indicates that both domestic and foreign businesses were qualified to submit bids for the tender if they had the necessary expertise, credentials, and networking knowledge in the construction of dams. The MNWAP involves the transfer and storage of irrigation water from the Mkhondvo River to the Ngwavuma River via the construction of a network of three dams (Mpakeni on the Ngwavuma River and Mahamba and Ethemba Dams on the Mkhondvo River) together with a diversion system and conveyance scheme.
Project funds are to be spent primarily in the country and location where the project takes place. Chief Executive Officer (CEO) Samson Sithole of ESWADE expressed this. He said in such a case only, the profits accrue to the investor while the expenditure occurs in the country of operation.
“In the case of the Mpakeni Dam under the Mkhondvo-Ngwavuma Water Augmentation Project (MNWAP), the funds will be spent on the construction of the project while the profits will go to the companies undertaking the work,” he said.
Area
The CEO mentioned that the funds would circulate in the country, the project area, and surrounding areas specifically, as well as in the Southern African Customs Union (SACU) for goods and services coming from SACU countries like South Africa.
“As more goods and services are sourced from the SACU region, Eswatini directly benefits from such funds since Eswatini is a member of SACU and receives most of its revenues from SACU,” he said.
Sithole further clarified that the over E3 billion tender was non-exclusive but open. This was after a tender acquisition raised concerns about the prioritisation of local companies. The bidders at the time were companies from Turkey, China, and South Africa.
The tender was for the construction of the dam and associated works, including the dam’s permanent access roads. It is important to note that both domestic and foreign businesses obtained local tenders, and businesses were assessed with the help of the Eswatini Public Procurement Regulatory Agency (ESPPRA).