MBOMBELA – The Mpumalanga Economic Growth Agency (MEGA) claims it does not receive sufficient funding from the provincial treasury to meet their obligations at the Mpumalanga International Fresh Produce Market (MIFPM).

Keabetswe Tshukudu, from MEGA, told Lowvelder that the agency does not receive special funding allocations with which to construct the mammoth project on the R37.

They use their general operations budget, which has resulted in finance shortages and strikes by the unpaid workers.

“The implementing department did not send the specified budget, and it is only the function that is here in the agency,” Tshukudu said.

“If we were doing this as a commercial transition between MEGA and investors, that would be something else and we would have the complete funds.

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“We take some of the funds which should have been used for maintenance, for funding SMMEs and funds for properties, to keep the project going.

“What we do is to take the budget that we have, which is already shared among other responsibilities, then divide it so that we can spend within the budget of the financial year. This results in the cash flow problems which we have and the protest on the road,” he explained.

The subcontractors have repeatedly raised their concern about the late payments.

Subcontractors and construction workers at the MIFPM blocked the road with trucks in protest after not getting paid on time again on Tuesday.

According to one of them, it is unfair as this situation has left them in so much debt. “We are doing our part, but we have to close the R37 before we get paid. We feel that we are not taken seriously since we are expected to continue working without any payment.

“We are considering whether to stop working here completely. It would be best if we are paid all the funds owed to us and we then move on. We are tired.”

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Two contractors were appointed for the project. ENZA Construction was appointed last year to build the MIFPM’s top structures.
Liviero Civils was appointed for the installation of civil engineering bulk services such as water, sewer and road networks. This started in February 2017.

Liviero has left the site of the project, however, it is unclear at this moment if they received all their payments or why the access road, a portion of the R37, is still not complete.

Lowvelder contacted Ragini Harilall from Liviero, but as of going to press, the newspaper had not received a response.
Tshukudu said he had no information about the access road.

The subcontractors are not the only ones affected. Some farmers and cooperatives hired to supply fruit and vegetables to schools and health facilities have also not received all the money owed.

This after the province transferred part of the government nutrition programme to MEGA, as the implementing agent for health and education.

MEGA said the suppliers are in the process of getting paid, and the agency will pay all those hired by them.