Official Statement – Mogale City
During a recent episode of an infotainment show, “The Devi Show”, wherein certain infrastructure projects at the Mogale City Local Municipality were featured, certain allegations were made regarding projects which Bigen is involved in. These allegations and inferences are incorrect. Bigen provided a full detailed response to the journalist’s questions on 16 May 2024, which were mostly ignored during the show.
- It was alleged that Bigen was irregularly procured. This statement is incorrect, as a competitive bidding process was followed. Bigen was originally appointed on the panel of the municipality following a public tender process under Bid No.: PWRT(PMU) 42/2019 Transactional advisory consulting experience to provide services and to assist MCLM in planning, implementing multidisciplinary projects including review of annual financial statements, assets management and transactional advisory services on an as and when required basis for a period of 3 years, which appointment has been extended in terms of Mogale City’s supply chain management policy.
- It was alleged that very little progress has been made on the Percy Stewart and Flip Human wastewater treatment works (WWTW), and that Bigen has been paid despite the lack of progress. This allegation is incorrect. The projects are implemented in multiple phases and are subject to budget availability and instructions from the municipality to proceed. A true reflection of progress is as follows:
2.1 Refurbishment of Percy Stewart WWTW
- Phase 1 – 100% complete (commissioned)
- Phase 2 – 100% complete (commissioned)
Apart from phases 1 and 2, no further instructions were received by Bigen on this project.
2.2 Refurbishment of Flip Human WWTW
- Phase 1 – 100% complete (ready for commissioning)
- Phase 2 – 85% complete (extension of time approved due to long-lead items)
Apart from phases 1 and 2, no further instructions were received by Bigen on this project.
Both these facilities have experienced several incidents of theft and vandalism since its completion and some phases had delayed commissioning because of this. The Municipality attended to these issues and had amongst others, increased security, which led to the facilities being handed over to the municipality. It is to be further noted that Bigen is not responsible for the operation and maintenance of these facilities, and as such has no further responsibility post commissioning.
Bigen always has been paid in line with progress and was at no time paid for work that was not completed.
- It was alleged that Bigen has after two years only reached “the concrete stage” of a R1bn upgrade to the municipal offices.
The Municipal Sub-Precinct: Municipal Offices forms the heart of the inner-city development of Krugersdorp CBD. The project is the first step in revitalising the inner city and creating inclusive economic growth.
The construction of the Municipal Office comprises the construction of additional office space to accommodate various departments in the municipal complex – the project consists of multiple phases to be implemented over multiple years, subject to budget availability.
The current and first phase of the project is for the construction of a six-(6) storey building comprising 13,600 sqm floor space area. The planning and design of the phase 1 building has been completed and approved, and the construction is currently at 35% completion.
There have been some project delays, for two main reasons:
- The project site is “brownfield” that is constructed in a built-up environment, and provision had to be made for existing services and surrounding structures.
- Adverse geotechnical conditions necessitated deep pile foundations of up to 15 meters.
Bigen submits detailed monthly progress reports to the municipality on all the above projects, and all payments that have been made are aligned to actual progress achieved.
Bigen is positive that the refurbishment of the two WWTW facilities will enable the municipality to use these facilities to make a positive impact on the environment and bring about great improvement to service delivery to the residents of Mogale City.
Bigen remains committed to being a leading provider of sustainable infrastructure solutions, to improve people’s quality of life.
The company is proud of its solid reputation as a trusted partner in infrastructure delivery and of its proven track- record in delivering quality infrastructure successfully for more than 50 years – positively impacting many communities throughout the country and continent.
We are passionate about quality service delivery, and we continue to support our clients and stakeholders in serving our communities.
FOR MORE INFORMATION KINDLY CONTACT:
Bigen MD, Real Estate: Steyn van Blerk
Tel: (+27) 12 842 8700
