Cape Times

Procuremen­t processes are being overhauled

- Loyiso Sidimba

THE government’s procuremen­t processes are being overhauled to assist state institutio­ns to better fight abuse of its R800 billion-a-year budget for goods and services as well as fraud and corruption.

Willie Mathebula, the National Treasury’s acting chief procuremen­t officer, told the Commission of Inquiry into State Capture yesterday that the Public Procuremen­t Bill was waiting for cabinet approval and there was also a review under way of Treasury regulation­s.

He promised that both the bill and the review of Treasury regulation­s would soon be published for public comment.

Mathebula said the proposed new bill would also create the Office of the Procuremen­t Ombudsman.

“It’s quite urgent that we finalise the process,” he said.

He believed this would lead to the profession­alisation of state procuremen­t.

The bill was at an advanced stage and would repeal or amend existing statutes, a process caused by the government’s recognitio­n of abuses in its procuremen­t processes, he said.

Mathebula warned that contract management needed to be strengthen­ed and that contract variations were a very serious issue in the country.

“They create the so-called evergreen contracts and act as barriers to small businesses and black-owned companies,” he said.

At the height of the capturing of the state, several organisati­ons and public figures sympatheti­c to the Gupta family raised alarm over Eskom coal supply contracts that lasted up to four decades.

Multinatio­nals and other whiteowned companies were accused of

targeting Gupta-linked Tegeta, which scored a multimilli­on-rand coal supply deal with the power utility.

Mathebula said contract management was very much on the Treasury’s radar.

The Treasury veteran, who was the first witness to testify, also proposed a special tribunal to deal with criminal cases of abuse of procuremen­t processes and that these transgress­ions should be classified differentl­y. “If we don’t do so, the rot will continue. We must ensure that where we identify wrongdoing it is dealt with,” Mathebula warned.

Deputy Chief Justice Raymond Zondo, who is chairing the commission sitting in Parktown, Johannesbu­rg, said the country needed to look at what made the procuremen­t process vulnerable to corruption. “My view is that of corruption is committed through tenders.

“We must do whatever we can to reduce the possibilit­y of corruption,” said Justice Zondo, who was appointed by President Cyril Ramaphosa earlier this year to head the commission following former public protector Thuli Madonsela’s State of Capture report and the North Gauteng High Court’s scathing judgment in December.

 ?? Picture: Karen Sandison/ African News Agency (ANA) ?? ‘A SERIOUS ISSUE’: Acting chief procuremen­t officer at the National Treasury, Willie Mathebula, was the first witness called before the commission of inquiry.
Picture: Karen Sandison/ African News Agency (ANA) ‘A SERIOUS ISSUE’: Acting chief procuremen­t officer at the National Treasury, Willie Mathebula, was the first witness called before the commission of inquiry.

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