Reply by Minister of Basic Education, Angie Motshekga, on questions posed in the National Assembly for written reply

Question 1639

Dr J C Kloppers-Lourens (DA) to ask the Minister of Basic Education:

(1) Whether her department considered and alternative plans/options to the private party and public partnership agreement concluded with the to build office accommodation prior to its conclusion; if not, why not; if so, (a) what are the details of each alternative plan/option, (b) why was the alternative plan rejected in favour of a private and public partnership agreement in each case and (c) what are the terms of the private and public partnership agreement;
(2) How will the premises that were initially earmarked to accommodate her department be used in future?

Reply:

(1) Yes
(a) Option 1: The Public Sector Comparator (PSC). This option implies that the Public Works Department (PWD) would have constructed a new building with Government funds.

Option 2: The Public Private Partnership (PPP).

This option is where the private party finance, design, build and maintain a facility for a particular period, thus not creating a huge financial constraint for government within a short space of time.

Option 3: Renting a building:

The Department pays for a rented building in line with the contract period.
(b) All the other options were rejected due to value for money.
(c) The Private Party is responsible for financing, design, construction and maintenance of the facility for a period of 25 years.
(2) The decision between the two Ministers was that the Department of Basic Education would occupy the new office building and the Department of Higher Education and Training remain at the previous building of the Department of Education

Issued by: Department of Basic Education
21 May 2010
Source: Department of Basic Education (http://www.education.gov.za/)

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