News / National
$1.3bn Harare-Beitbridge highway project resumes
04 Sep 2015 at 02:27hrs | Views
Work on Harare-Beitbridge highway is expected to resume soon following the withdrawal of a two year court case filed by Zimhighways Consortium against government.
The $1.3 billion rehabilitation of the economically strategic highway was stopped in 2013 after the consortium dragged government to court for breach of contract.
The road has been in use for over 55 years, way beyond its design life of 20 years and is now in an advanced state of disrepair.
In 2003, President Robert Mugabe's government awarded the Zimhighways Consortium – made up of 14 construction firms including Murray & Roberts, Costain Africa, Kuchi Building Construction, Tarcon, Bitcon, Joina Development Company and Southland Engineers – for the dualisation of the highway.
The project never took off, amid accusations and counter-accusations between government and the consortium.
The government said the consortium had failed to prove it had the financial wherewithal to execute the project, while Zimhighways accused government officials of demanding bribes and throwing spanners in its works.
The consortium also accused the government of going behind its back to negotiate a separate deal with the Development Bank of Southern Africa (DBSA), with which Zimhighways had agreed on a funding plan.
The $1.3 billion rehabilitation of the economically strategic highway was stopped in 2013 after the consortium dragged government to court for breach of contract.
The road has been in use for over 55 years, way beyond its design life of 20 years and is now in an advanced state of disrepair.
The project never took off, amid accusations and counter-accusations between government and the consortium.
The government said the consortium had failed to prove it had the financial wherewithal to execute the project, while Zimhighways accused government officials of demanding bribes and throwing spanners in its works.
The consortium also accused the government of going behind its back to negotiate a separate deal with the Development Bank of Southern Africa (DBSA), with which Zimhighways had agreed on a funding plan.
Source - dailynews
