News / Local
Govt blocks BCC from converting waste into usable energy deal
05 Jul 2018 at 02:26hrs | Views
Government has blocked the Bulawayo City Council (BCC) from engaging into partnership with the private consulting firm Pragmaleaf Consulting Diverflex (PVT) Limited in a deal in which they intended to conduct a waste management project that will see them converting waste into usable energy.
The Financial Director Kempton Ndimande had reported that Council had resolved to grant Management authority to submit a project proposal to Cabinet for approval through the Ministry of Local Government, Public Works and National Housing for the above mentioned partnership.
"This meant that Council had intended to enter into a joint venture with the said investor. However, conversion of waste to energy was not Council's core business and as such forming a joint venture would not be in the best interest of Council and would create operational issues at the time of handing over the project to Council," latest council minutes read.
"The proposal was never sent to Cabinet but instead a business prospectus detailing all investment opportunities available including the conversion of waste to energy was advertised in the local press. Interested bidders were asked to submit proposals in the form of expressions of interest [EOI]. A number of prospective bidders had submitted expressions of interest including Pragmaleaf Consulting after which they were asked to submit detailed proposals which were evaluated by the Procurement Committee. The best evaluated proposal was that of Pragmaleaf Consulting."
He said over and above the submission of a proposal, Pragmaleaf Consulting had applied for and was allocated a piece of land in Westondale [Stand No. 15451] for setting up a Conversion of Waste to Energy plant in December 2014.
"Considering that the business prospectus was designed to entice investment into the city, this massive project worth more than US$68 million with a potential of generating more than 2000 jobs for the local community should be embraced. It was against this background that Council was requested to rescind its original resolution of 6 December 2016 and instead authorise Management to submit a project proposal for approval to the Ministry of Local Government, Public Works and National Housing," the minutes read.
"Thereafter the Financial Director explained that the Ministry of Local Government, Public Works and National Housing had advised that it was not possible for Council to enter into a joint venture with Pragmaleaf. However Council was advised to sell the land to the investor of which Council did."
The Financial Director Kempton Ndimande had reported that Council had resolved to grant Management authority to submit a project proposal to Cabinet for approval through the Ministry of Local Government, Public Works and National Housing for the above mentioned partnership.
"This meant that Council had intended to enter into a joint venture with the said investor. However, conversion of waste to energy was not Council's core business and as such forming a joint venture would not be in the best interest of Council and would create operational issues at the time of handing over the project to Council," latest council minutes read.
He said over and above the submission of a proposal, Pragmaleaf Consulting had applied for and was allocated a piece of land in Westondale [Stand No. 15451] for setting up a Conversion of Waste to Energy plant in December 2014.
"Considering that the business prospectus was designed to entice investment into the city, this massive project worth more than US$68 million with a potential of generating more than 2000 jobs for the local community should be embraced. It was against this background that Council was requested to rescind its original resolution of 6 December 2016 and instead authorise Management to submit a project proposal for approval to the Ministry of Local Government, Public Works and National Housing," the minutes read.
"Thereafter the Financial Director explained that the Ministry of Local Government, Public Works and National Housing had advised that it was not possible for Council to enter into a joint venture with Pragmaleaf. However Council was advised to sell the land to the investor of which Council did."
Source - Byo24News
