MEC for Human Settlements Mrs Nombulelo Mabandla has announced the termination of contracts for poor performing contractors on housing projects in the province. The contracts were terminated due to poor performance on construction sites where contractors could not meet deadlines to complete the housing projects.
Terminated contracts include Mandlethu for poor performance on three projects allocated to the contractor which include two housing projects in Cala, (1070 and 1545 housing units) and 800 housing units in Elliot cancelled due to non performance. The department has also cancelled Ntabeni construction allocated to build 500 units in Sweet waters for poor workmanship.
The department is in the process of appointing new contractors to work on these projects.
All slow moving projects are under review for either cancellation of agreements, close off or re tender or renegotiate timeframes. Several warning letters and notices of breach have issued to other slow moving contractors throughout the province.
Failure to improve on their work in these projects will result in cancellation of contracts. These contractors are working in projects evenly spread throughout the province.
When a contractor fails to perform, the department issues a notice of breach and give 21 days for the contractor to remedy such breach. Should the contractor fail to remedy such breach within allocated time frames without valid reasons for default or revised programme, the department issues a cancellation letter and appoints a new contractor to take over the project.
Although the cancellation of the contracts will affect the delivery rate of the housing units on the ground, but the termination of contracts is a necessary to deal with poor workmanship and non performance by contractors.
Contact:
Lwandile Sicwetsha
Tel: 043 711 9534
Fax: 086 645 2757
Cell: 071 671 1770
Issued by: Eastern Cape Provincial Government
4 February 2010