Tshwane Mayor unhappy with contractor
Tshwane executive mayor Kgosientso Ramokgopa expressed has expressed unhappiness with the performance of the controversial smart prepaid meters contractor, PEU, in executing the roll-out of prepaid meters to residents of the city.
Ramokgopa has announced the Tshwane Metro will not be paying any further commission to PEU,Rekord East reported.
In a press statement released by Brandon Topham, the Democratic Alliance (DA) welcomed the announcement by Ramokgopa and confirmed by MMC Subesh Pillay that the metro will no longer be paying any further commission to PEU, alleging the contractor did not comply with its obligations.
Topham said this came after a discussion in council concerning the over-expenditure of R230.6 million on budget for the first six months of this financial year in commission to PEU.
Lex Middleberg, who led the opposition against the PEU contract 22 months ago, said: “The problem now is what PEU is going to do about it. The mayor alleges that PEU is not complying with its obligations, but in terms of contract law, you cannot withhold your obligations by only such an allegation because that party can claim you are in breach of contract.”
“Since the PEU contract has not reached the final date of roll-out, the mayor cannot claim that PEU has failed to reach its target because the first measuring date is after two years. So we have until next year before we may be in the position to claim breach of contract.”
He added that in complying with the contract, PEU must roll out about 2 700 meters a day, seven days a week, 12 months a year if they wanted to roll out the complement of 800 000 meters in the prescribed time.
“But, according to the mayor, they have only managed TO INSTALL
12 000 meters over a period of 18 months,” said Middleberg.
– Caxton News Service
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